Maximizing Telecoms API Exposure Is Critical for Operators

A new study from Juniper Research found global operator revenue from telecommunications APIs will grow substantially, from $50 billion in 2024 to more than $111 billion by 2027. Telecommunications APIs provide operators with a tool to integrate their network capabilities and services into a single application; offering a channel to monetize their 5G networks.

The study, the most comprehensive on the telecommunications API market to date, thoroughly assessed the potential for various use cases in the market, including connectivity, communications, and fraud mitigation. It found operators’ biggest challenge in capitalizing on this substantial revenue growth is maximizing the exposure of these APIs.

The report identified network connectivity APIs as a key driver of API revenue, accounting for over 20% of global operators’ API revenue by 2027. Connectivity APIs, such as network slicing, guarantee enterprises acceptable network conditions, such as high throughput and low latency. The report forecasts these APIs will generate $72 billion for operators over the next four years.

However, network connectivity APIs are resource-intensive use cases requiring real-time adjustments of network functionality. While these APIs command a higher fee per API call, the report predicts operators will also face challenges in scaling APIs as demand grows.

“To accomplish both exposure and scalability, networks must employ various technologies, including cloud computing, network function virtualization, and open radio access technologies, to be able to meet the demands from enterprises for network connectivity,” commented research Author Molly Gatford.