Telecom APIs - Monetizing Their Most Valuable Assets Is Transforming Mobile Operators

Mobile network operators (MNOs) are gradually moving from telecom-centric to IT-centric operating models and are adopting the same approach that has driven the success of online service providers. Monetization of application programming interfaces (APIs) is one of the most prominent facets of this evolution. MNO API monetization has traditionally been structured around extensive developer outreach programs supported by a Web based technology platform. Messaging, location and billing are the primary APIs opened by MNOs. Beyond this group of APIs operators, in particular those in emerging markets, have remained relatively conservative about exposing APIs. The financial impact of telecom operator API programs remains uncertain, but indications are that the direct revenue boost is moderate at best.

Key Findings

MNOs are gradually moving from telecom-centric to IT-centric operating models: The change is dramatic.
Operators are increasingly narrowing the scope of their API programs, shifting toward more partnerships targeting specific vertical ecosystems and focusing on B2B.
Beyond the primary APIs opened by MNOs - messaging, location and billing - operators, in particular those in emerging markets, have remained relatively conservative about opening APIs.
The revenue impact of operator API programs is moderate at best.
Operators recognize that the application, not the API, is the end product.
Ultimately the efforts to monetize APIs are about more than building up alternative revenue streams as traditional ones dry up. They are central to broader efforts to accelerate the pace of innovation within the organization.

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Synopsis

The Report 'Telecom APIs - Monetizing Their Most Valuable Assets Is Transforming Mobile Operators' by Pyramid Research examines one of the more striking manifestations of the ongoing transformation of telecom operators - their growing willingness to monetize tightly held assets such as networks, billing systems and user relationships, and to expose APIs to third-party developers. Building on our examination of a dozen operators around the world, the report analyzes the strategic drivers and structures of MNO asset monetization programs, along with their impact on the operations and bottom lines of operators. The report also provides a number of case studies of API programs from around the world.

What else does this report offer?

A clear analysis of the strategic rationale and key drivers behind the trend of exposing APIs.
Key operator business models and tactical approaches to monetizing their API assets.
Detailed investigations into six operator API programs, laid out in detailed case studies.
Crucial market insights based on the analysis of the API programs of 20 key mobile operators globally.
Forty exhibits helping to make sense of the different approaches to asset monetization.
Actionable recommendations for mobile network operators.
Reasons To Buy

Learn best practices from the experience of operators that have launched API programs - successfully or not.
Put some tangible numbers on the revenue potential of opening APIs for your organization.
Assess the various revenue models available when exposing APIs.
Understand the deeper strategic and day-to-day implications of exposing APIs on your organization.
Get the external and internal parameters you need to decide whether your organization should expose APIs.
Get a clear view of the broad KPIs you need in order to assess whether your API program is successful.

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