Telecom Network APIs 2012 - 2016


Published: Jul 2012
Pages: 
102
Single User: 
$2,995.00
Company Wide: 
$6,995.00
Team License: 
$3,685.00
Telecom Network APIs capitalize on existing network infrastructure to create a vast array of business opportunities for carriers worldwide. In essence, these APIs allow carriers to disseminate a wealth of internal information or resources to third parties. This could entail everything from network QoS for video service delivery to Subscriber Data Management (SDM) for advertising and profiling, the goal being to enable third party developers to offer services in return for revenues.

Today nearly 9 % of all Web and 5 % of all mobile applications utilize APIs. This figure is expected to increase to over 68 % by the end of 2016, driven by growing investments from the vendor, developer and the carrier community. As a consequence, the Telecom Network APIs market is expected to account for nearly $ 75 Billion in global revenues worldwide by 2016, growing at a CAGR of 37 % between 2012 and 2016.

This report provides an in-depth assessment of the global Telecom Network APIs market, including business models, value chain analysis, operator and vendor strategies and a quantitative assessment of the industry from 2012 till 2016.

This report addresses the following key topics:

• The Business Case for Telecom Network APIs: An assessment of the business case for Telecom Network APIs

• API Aggregation: The role of API Aggregators, the total cost usage for APIs with aggregation and a review of aggregator API usage by category.

• Value Chain and Telco Operator APIs Usage: An analysis of the value chain of telecom operator API usage for services including an assessment of revenue across participants in the value chain from end users, developers, aggregators to the API owners, and how this economic model will change over time.

• Network Operator, Application Provider & Vendor Strategies: An analysis of how operators, application providers and vendors will position themselves to capitalize on network APIs

• Telecom and Non-Telecom Network API Analysis: Evaluation of major Telecom network, Non-Telecom Network APIs, API “Mashups” globally, and an assessment of which APIs will lead the market in the future.

• Market Analysis and Forecasts: A global and regional assessment of the market size and forecasts for the Telecom Network API market from 2012 to 2016

Target Audience: 
  • API Aggregators
  • Investment Firms
  • Application Developers
  • Mobile Device Vendors
  • Mobile Network Carriers
  • Service Bureau Companies
  • Wireless Infrastructure Vendors
  • Telecom Managed Service Providers
Companies in Report: 

Acision
Alcatel Lucent
Amazon
America Movil
Apigee
AT&T
BBC
eBay
Ebay
Flickr
FONfinder
France Telecom (Orange)
GenSMS
Gilt Groupe
Google
GSMA
Korea Telecom
Last.fm
LOC-AID
Microsoft
Mox eHealth
Netflix
Pearson
Placecast
Rogers
Salesforece.com inc
Samsung
Shopping.com
Sprint
Telefonica
T-Mobile
Twilio
Twitter
UnboundID
Verizon Wireless
Vodafone
Vodafone
Wholesale Application Community
Yahoo
YouTube

Key Findings: 
  • The mobile networks API market will grow at a CAGR of 37 % between 2012 and 2016, eventually accounting for $ 75 Billion in global revenue by the end of 2016
  • In terms of regional revenue split, the North America and Western Europe region will remain to be the largest market segments by the end of 2016, while the Asia Pacific and Middle East & Africa regions will see the healthiest growth rates over the next four years.
  • In terms of individual API categories, the Subscriber Data Management (SDM) category will witness the fastest growth rate and will eventually account for $ 6.8 Billion in global revenue by the end of 2016
  • The average volume of API transactions for a Tier 1 wireless carrier will significantly increment over the next four years eventually reaching 94 Billion transactions a month on average.
Table of Contents: 

1 Introduction 7
1.1 Executive Summary 7
1.2 Topics Covered 8
1.3 Key Findings 10
1.4 Target Audience 11
1.5 Companies Mentioned 12

2 An Overview of Telco Network APIs 14
2.1 Defining Network APIs 14
2.2 Why are Carriers Adopting Telco Network APIs 16
2.3 Telco Network API Categories 17
2.3.1 SMS and RCS-E 17
2.3.2 MMS 17
2.3.3 Location 17
2.3.4 Payments 18
2.3.5 Voice/Speech 18
2.3.6 M2M 18
2.3.7 SDM/Identity Management 18
2.4 Telco Network API Business Models 19
2.4.1 Two-Sided Business Model 19
2.4.2 Exposing APIs to Developers 19
2.4.3 Web Mashups 20
2.5 What % of Applications use APIs 21
2.6 The Revenue Potential of APIs 23
2.7 Telco Network API Usage by Industry Segment 25
2.8 Telco Network API Value Chain 26
2.8.1 Visualizing the Value Chain 26
2.8.2 How the Value Chain will Evolve Over Time 27
2.8.3 API Transaction Value Split Among Players 28
2.9 Cost for Different API Transactions 30
2.10 Volume of API Transactions 31

3 API Aggregation 32
3.1 The Role of API Aggregators 32
3.2 Total Cost Usage for APIs with Aggregators 32
3.2.1 Start-up Costs 33
3.2.2 Transaction Costs 33
3.2.3 Ongoing Maintenance/Support 33
3.2.4 Professional Services by Intermediaries 33
3.3 Aggregator API Usage by Category 34
3.3.1 An LBS Case Study: LOC-AID 34
3.3.2 Aggregation: Intersection of Two Big Needs 35
3.3.3 The Case for Other API Categories 35
3.3.4 Moving Towards New Business Models 36

4 Non Telco Network APIs and Mashups 38
4.1 Non Telco Network APIs 38
4.1.1 Twitter 38
4.1.2 Netflix API 39
4.1.3 Google Maps 39
4.1.4 Facebook 40
4.1.5 Youtube 40
4.1.6 Flickr 41
4.1.7 Ebay 42
4.1.8 Last.fm 43
4.1.9 Amazon Web Services 43
4.1.10 Bing Maps 44
4.1.11 Yahoo Web Search API 44
4.1.12 Shopping.com 45
4.1.13 Salesforce.com 46
4.2 Mashups 48
4.2.1 BBC News on Mobile 48
4.2.2 GenSMS emailSMS 48
4.2.3 Foursquare 49
4.2.4 Amazon SNS and Nexmo 49
4.2.5 Triage.me 50
4.2.6 MappyHealth 50
4.2.7 Lunchflock 51
4.2.8 Mobile Time Tracking 51
4.2.9 Fitsquare 51
4.2.10 GeoSMS 52
4.2.11 FONFinder 52
4.2.12 Pound Docs 52
4.2.13 140Call 52
4.2.14 Salesforce SMS 53

5 Carrier, Application Provider & Vendor Strategies 54
5.1 Carrier Positioning in the LTE Era 54
5.1.1 Increasing API Investments 54
5.1.2 The Rise of SDM 55
5.1.3 Working Towards Standardisation: The GSMA OneAPI 56
5.1.4 Carrier Attitudes towards APIs in the U.S Versus Asia Pacific and Western Europe 58
5.2 Carrier API Programs Worldwide 59
5.2.1 AT&T Mobility 59
5.2.2 Verizon Wireless 61
5.2.3 Vodafone 63
5.2.4 France Telecom 64
5.2.5 Telefonica 66
5.3 Should Carriers Open Network APIs to OTT Service Providers 68
5.3.1 Allowing OTT Providers to Manage Applications 68
5.3.2 Carriers Lack the Innovative Skills to Capitalize on APIs Alone 68
5.4 Developer Attitudes Towards API Adoption 69
5.4.1 A Critical Asset to Developers 69
5.4.2 Stimulating the Growth of API Releases 69
5.4.3 Working Alongside Carrier Programs 70
5.4.4 Developer Preferences: Google vs Carriers 71
5.5 Vendor Strategies: Creating a Unique Role within the Value Chain 72
5.5.1 Positioning as Enablers in the Value Chain 72
5.5.2 Moving Away from a Box/Product Supplier Strategy 72
5.5.3 Moving Away from a Box/Product Supplier Strategy 73
5.6 Company Profiles 74
5.6.1 Alcatel Lucent 74
5.6.2 UnboundID 76
5.6.3 Twilio 78
5.6.4 LOC-AID 80
5.6.5 Placecast 82
5.6.6 Samsung 84
5.6.7 AT&T Mobility 85
5.6.8 Apigee 86

6 Market Analysis 88
6.1 Telco Network APIs Revenue 2012 - 2016 88
6.2 Telco Network APIs Revenue by API Category 2012 - 2016 89
6.2.1 Messaging API Revenues 90
6.2.2 LBS API Revenues 91
6.2.3 SDM API Revenues 92
6.2.4 Payment API Revenues 93
6.2.5 Other API Revenues 94
6.3 Telco Network APIs Revenue by Region 2012 - 2016 95
6.3.1 Asia Pacific 96
6.3.2 Eastern Europe 97
6.3.3 Latin & Central America 98
6.3.4 Middle East & Africa 99
6.3.5 North America 100
6.3.6 Western Europe 101

List of Figures

Figure 1: Wireless Carrier Assets 15
Figure 2: The Telco Network APIs Value Chain 26
Figure 3: Value Split Among Aggregators, Carriers and Web Enterprises for API Transactions: 2012 - 2016 28
Figure 4: API Transaction Costs (US Cents) 2012 - 2016 30
Figure 5: Volume of API Transactions for a Tier 1 Carrier (Billions per Month): 2012 - 2016 31
Figure 6: GSMA OneAPI: Benefits to Stakeholders 57
Figure 7: Verizon Wireless APIs 59
Figure 8: Verizon Wireless APIs 61
Figure 9: France Telecom (Orange) APIs 64
Figure 10: Telefonica APIs 66
Figure 11: UnboundID’s Portfolio of Services 76
Figure 12: Twilio’s Portfolio of Services 78
Figure 13: LOC-AIDs’s Exchange Server Architecture 80
Figure 14: Placecast’s ShopAlerts Solution 82
Figure 15: Apigee’s Portfolio of Services 86
Figure 16: Telco Network APIs Revenue (USD Billions) 2012 - 2016 88
Figure 17: Telco Network APIs Revenue (USD Billions) by API Category 2012 - 2016 89
Figure 18: SMS APIs Revenue (USD Billions) 2012 - 2016 90
Figure 19: LBS APIs Revenue (USD Billions) 2012 - 2016 91
Figure 20: SDM APIs Revenue (USD Billions) 2012 - 2016 92
Figure 21: Payment APIs Revenue (USD Billions) 2012 - 2016 93
Figure 22: APIs Revenue for Other Categories (USD Billions) 2012 - 2016 94
Figure 23: Telco Network APIs Revenue (USD Billions) by Region 2012 - 2016 95
Figure 24: Telco Network APIs Revenue (USD Billions) in the Asia Pacific Region 2012 - 2016 96
Figure 25: Telco Network APIs Revenue (USD Billions) in the Eastern Europe Region 2012 - 2016 97
Figure 26: Telco Network APIs Revenue (USD Billions) in the Latin & Central America Region 2012 - 2016 98
Figure 27: Telco Network APIs Revenue (USD Billions) in the Middle East & Africa Region 2012 - 2016 99
Figure 28: Telco Network APIs Revenue (USD Billions) in the North America Region 2012 - 2016 100
Figure 29: Telco Network APIs Revenue (USD Billions) in the Western Europe Region 2012 - 2016 101

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