Is connectivity driving business strategy?

Traditional businesses are quickly evolving into “composable enterprises” built out of hundreds of connected software services, applications and devices.

MuleSoft’s 2015 Connectivity Benchmark Report, analysing the adoption and business impacts of APIs, suggests that most are embracing the Internet of Things (IoT) and microservices technologies also, while the majority are integrating wearables, like smart watches, and more than half plan to generate revenue with APIs within the next year.

Overall, businesses are making APIs a strategic priority as they adapt to cloud, mobile devices and the explosion of Internet-connected sensors.

Among the key results, nearly 75 per cent of organisations have an API strategy, and more than 50 per cent say they are generating revenue through an API or will be within a year.

Furthermore, 33 per cent of financial services organisations and 50 per cent of media/telecom organisations that are deriving revenue from APIs make more than $US10 million through this channel.

In addition, 70 per cent of organisations are integrating at least 20 applications; of those making $10 billion or more in revenue, 58 per cent are integrating 100 or more applications.

“Business success depends on connecting the unconnected,” says Ross Mason, founder and vice president of product strategy, MuleSoft.

“To launch a new product, create a new service or improve what you already have, organisations need to connect applications, data and devices.

“It’s clear from this report that businesses are taking that truth to heart. They’re embracing microservices. They’re creating mobile apps. They’re laying the groundwork for a world of connected sensors.

“Above all, they’re embracing APIs to make all these connections efficiently. They understand that APIs aren’t just tools for integration. They’re a way to build a composable business that can adapt, innovate and transform itself faster than the competition.”

On the topic of IoTs, Mason reports that 77 per cent say they already have an IoT strategy, and approximately 75 per cent of respondents rank the IoT as “very important” or “important” to their business plans over the next 12 months.

Respondents indicated that the main driver of their IoT strategy is to improve the customer experience and engagement (41 per cent) and improve business operations and maintenance (38 percent).

Mason adds that 70 percent of respondents say their organisations are either currently integrating wearables or plan to do so in the next 12 months.

Further research shows that mobile is driving new investment across the industry, with Mason reporting that more ITDMs (60 per cent) are increasing their investment in iOS and Android than any other development platform, including Linux, Windows/.NET and AWS.

As a result, 64 per cent of large enterprises, defined as 10,000 employees or more, are investing more in mobile this year than previously.