Telecom API Market Outlook and Forecasts 2017 – 2022

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The telecommunications Application Programming Interface (API) marketplace has significantly matured in recent years. While some expectations have not yet been realized, such as carrier branded application stores, B2B revenue to third-parties such as OTT providers continues to provide wholesale services revenue growth for traditional Communication Service Providers (CSP). However, much of Telecom API opportunity has been limited to larger carriers in developed countries. There remains a lucrative opportunity for both smaller CSPs and larger carriers in developing countries.

This latest study builds upon five years of Telecom API research. During this period, we have seen network operators leverage APIs to derive wholesale transaction revenue as well as communication-enabled application revenue. We have also seen a significant amount of use for internal carrier services such as customer relationship management.

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Incremental growth opportunities for CSPs include a variety of services and application support such as Robo Call Blocking (associated with Do Not Call Registry and Telephone Consumer Protection Act compliance in the United States) as well as Unwanted Call blocking services in general.

However, the publisher sees a general flattening of the growth curve for traditional consumer centric and handset oriented services supported by Telecom APIs. Longer term, Telecom API growth will come from new networks such as those cellular and non-cellular WANs supporting the Internet of Things (IoT). The publisher sees communication-enabled application revenue plateauing while IoT network-support revenue becoming a more substantial revenue component for Telecom APIs by 2025.

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