Definition: API

What is an API?

Short for "Application Programming Interface," an API is a set of protocols and tools that enable different software applications to communicate with each other. APIs define the way in which software components should interact with each other, allowing for seamless communication between different systems and applications.

Importance of APIs in a business

APIs can enable the exchange of data between various separate systems, including online marketplaces, inventory management systems, payment gateways, and customer relationship management (CRM) platforms.

By providing a standardized interface, APIs allow businesses to integrate these systems and automate processes such as product data syndication, order management, and any other tasks that require the exchange of information between different systems and applications.

In addition to facilitating communication between different systems and applications, APIs are also used to create developer ecosystems and enable third-party integration. By providing APIs, businesses can expose their services and data to other developers, allowing for the creation of innovative new applications and services.

Types of API protocol

APIs can take many forms. Some examples are:

1. REST (Representational State Transfer)
2. SOAP (Simple Object Access Protocol)
3. GraphQL
4. JSON-RPC (Remote Procedure Call using JSON)
   
5. gRPC (Google Remote Procedure Call)
6. XML-RPC (Remote Procedure Call using XML)