• Cat-intel
  • MedIntelliX
  • Resources
  • About Us
  • Request Free Sample ×

    Kindly complete the form below to receive a free sample of this Report

    Leading companies partner with us for data-driven Insights

    clients tt-cursor

    API Management Market

    ID: MRFR/ICT/1796-HCR
    100 Pages
    Shubham Munde
    September 2025

    API Management Market Research Report Information By Component (Solutions [API Platform, API Analytics, and API Security], and Services [Integration & Implementation, Consulting, Support & Maintenance, and Training & Education]), By Deployment Type (On-premises, and Cloud), By Organization Size (SMEs, and Large Enterprises), By Industry Vertical (BSFI, IT & Communication, Retail, Manufacturing, Government, Healthcare, and Others), By Region (North America, Europe, Asia-Pacific, Middle East & Africa, and South America) - F...

    Share:
    Download PDF ×

    We do not share your information with anyone. However, we may send you emails based on your report interest from time to time. You may contact us at any time to opt-out.

    API Management Market Infographic
    Purchase Options
    $ 4,950.0
    $ 5,950.0
    $ 7,250.0

    API Management Market Summary

    As per Market Research Future Analysis, the API Management market is projected to grow from USD 4.22 billion in 2023 to USD 24.17 billion by 2032, with a CAGR of 21.40% during the forecast period (2024-2032). The market is driven by the increasing need for APIs to facilitate digital transformation, data-driven decision-making, and automation. Post-COVID-19, the market saw a valuation of USD 3.28 billion in 2021, expected to reach USD 27.32 billion by 2030, growing at a CAGR of 25.2% from 2022 to 2030. The North American region dominated the market in 2021, while the Asia-Pacific region is anticipated to experience the fastest growth due to rising mobile users and e-commerce penetration.

    Key Market Trends & Highlights

    Key trends driving the API Management market include the following:

    • The market is expected to grow at a CAGR of 21.40% from 2024 to 2032.
    • Post-COVID-19, the market is projected to reach USD 27.32 billion by 2030.
    • The Cloud segment led the market in 2021 and is expected to continue its dominance.
    • Large enterprises are adopting API management solutions more rapidly than SMEs due to larger budgets.

    Market Size & Forecast

    2023 Market Size USD 4.22 Billion
    2032 Market Size USD 24.17 Billion
    Post-COVID-19 2021 Market Size USD 3.28 Billion

    Major Players

    Key players include Amazon Web Services (AWS), IBM Corporation, Microsoft Corporation, MuleSoft, Oracle Corporation, and Akamai Technologies.

    API Management Market Trends

    Growing need for APIs to increase digital transformation

    Today's market trends are influencing API development approaches. As organizations grow and become more agile, software plays an increasingly important role. Low-code API management platforms can support proper implementation and optimization of API management solutions. By using low-code API management platforms, you can increase the security of the platforms and reduce the chances of cyberattacks. Additionally, the API lifecycle management tool enables executives to gain greater control over API development by providing more visibility and control. The use of low-code platforms can be beneficial for organizations of all sizes, from large corporations to small businesses.

    The Global API Management market is poised for robust growth as organizations increasingly recognize the necessity of integrating diverse applications and services to enhance operational efficiency and customer engagement.

    U.S. Department of Commerce

    API Management Market Drivers

    Market Growth Projections

    The Global API Management market Industry is poised for substantial growth, with projections indicating a rise from 5.13 USD Billion in 2024 to 43.2 USD Billion by 2035. This trajectory suggests a compound annual growth rate (CAGR) of 21.39% from 2025 to 2035, reflecting the increasing importance of APIs in modern business operations. The market dynamics are influenced by various factors, including the demand for digital transformation, cloud adoption, and the need for enhanced security measures. As organizations continue to leverage APIs for improved connectivity and efficiency, the market is expected to expand significantly.

    Focus on Enhanced Security Measures

    Security concerns are paramount in the Global API Management market Industry, particularly as cyber threats continue to evolve. Organizations are increasingly prioritizing API security to protect sensitive data and maintain customer trust. The implementation of robust security protocols, such as authentication and encryption, is becoming standard practice. This focus on security is not merely a response to threats but also a proactive measure to ensure compliance with regulations. As businesses recognize the importance of safeguarding their APIs, investments in API management solutions that offer enhanced security features are likely to rise, further propelling market growth.

    Increased Adoption of Cloud Services

    The Global API Management market Industry is significantly influenced by the rising adoption of cloud services. As organizations migrate to cloud-based infrastructures, the need for effective API management becomes critical. Cloud platforms facilitate the development and deployment of APIs, enabling businesses to scale their operations efficiently. This shift not only enhances flexibility but also reduces operational costs. The integration of APIs with cloud services allows for better data sharing and collaboration among disparate systems, thereby driving the growth of the API management market. This trend is expected to contribute to the overall market expansion in the coming years.

    Emergence of IoT and Connected Devices

    The rise of the Internet of Things (IoT) is reshaping the Global API Management market Industry. As more devices become interconnected, the demand for APIs that enable communication between these devices is growing. IoT applications require robust API management solutions to handle the vast amounts of data generated and ensure seamless integration. This trend is particularly evident in smart home technologies, industrial automation, and healthcare monitoring systems. The proliferation of connected devices is likely to create new opportunities for API management providers, driving innovation and market expansion.

    Growing Need for Real-time Data Access

    The demand for real-time data access is a significant driver in the Global API Management market Industry. Organizations are recognizing the value of timely information for decision-making and operational efficiency. APIs facilitate real-time data exchange between systems, enabling businesses to respond swiftly to market changes and customer needs. This capability is particularly crucial in sectors such as e-commerce and logistics, where timely data can lead to competitive advantages. As the reliance on data-driven strategies increases, the need for effective API management solutions that support real-time access is expected to drive market growth.

    Rising Demand for Digital Transformation

    The Global API Management market Industry experiences a surge in demand driven by the ongoing digital transformation across various sectors. Organizations are increasingly adopting APIs to enhance connectivity and streamline operations. This trend is particularly evident in industries such as finance, healthcare, and retail, where the need for seamless integration of services is paramount. As businesses strive to improve customer experiences and operational efficiency, the market is projected to grow from 5.13 USD Billion in 2024 to an impressive 43.2 USD Billion by 2035, reflecting a robust CAGR of 21.39% from 2025 to 2035.

    Market Segment Insights

    API Management Market Component Insights

    The API Management market segmentation, based on Component, includes Solutions, and Services. In 2021, the solutions segment dominated the API management market share based on component, and is expected to continue dominance in coming years. A growing number of apps and smart devices needs to be made available through APIs for businesses to create rich, customized app experiences for internal users, customers, and partners. A strong API Management Software solution is required by organizations across all industries in order to measure the success of API-driven enterprises.

    Three segments are present in the API management market: API platforms, API analytics, and API security. Due to the seamless integration of systems and components with apps and devices, API Management Software solutions are in high demand.

    January 2023: California Regional Multiple Listing Service (CRMLS) has expanded their partnership with Styldod, the AI-enhanced virtual staging and image editing product solution, to integrate an identification and analysis process for listing photos. Through CRMLS' photo analysis software, an API is integrated into CRMLS' ecosystem REcenterhub, which will detect logos, watermarks, branding, contact information, QR codes, NSFW content, human faces, and more. It will alert agents and brokers to potential compliance issues and provide them with the opportunity to correct them.

    May 2022: IBM made a Strategic Collaboration Agreement (SCA) with Amazon Web Services, Inc., with plans to offer a broad array of its software catalog as Software-as-a-Service (SaaS) on AWS. As a result of the agreement between IBM and AWS, Cloud customers will have quick and easy access to IBM Software across automation, big data and artificial intelligence, security, and sustainability, built on Red Hat OpenShift Service on AWS (ROSA), and running in the cloud natively on AWS.

    API Management Deployment Type Insights

    According to Deployment Type, the market is segmented into On-premises and Cloud. The Cloud segment led the overall market in the API Management industry in 2021, and it is expected to continue to lead during the forecast period. Since API management solutions are deployed on-premises, they are easily accessible by clients due to their physical presence in data centers. A new generation of cloud solution providers is developing applications and solutions that are impacting the market for on-premises software and solutions.

    As a result of the growing cost of maintaining on-premises solutions, such as hardware and computing devices, the demand for the on-premises deployment type is also likely to decline. Users' critical data is stored in this mode of deployment in organizations that deal with business functions that require critical access to the data. Financial services and banking industries handle the financial information of their customers. Hence, these industries are likely to opt for on-premises API management solutions.

    API Management Organization Size Insights

    The API Management market research segmentation, by Organization Size, the market is segmented into SMEs and Large Enterprises. To remain competitive, large enterprises implement the latest technology to gain market presence. Because large enterprises have a large budget for latest technologies and economies of scale, API management solutions are expected to be adopted more rapidly than SMEs. Organizations will likely have an increased demand for web applications, mobile devices, and IoT due to the growth of web applications, mobile devices, and IoT. According to the MRFR, the reasons above will continue to fuel the segment's growth throughout the forecast period.

    API Management Industry Vertical Insights

    Based on Industry Vertical, the API Management market has been segmented into BSFI, IT & Communication, Retail, Manufacturing, Government, Healthcare, and Others. Banking and financial services have begun monetizing APIs and standardizing open banking capabilities. This move will enhance customer and banking experiences and transform business operations. Financial data and the integration of other services will change as API technology continues to be adopted by banking. This will support a cost-effective way of banking. APIs enhance both the capabilities and offerings of third-party companies for their customers.

    APls have extensive implications for the future of the banking and financial services industry, according to the European Banking Association. Therefore, accepting and implementing APls may extend and improve services and product offerings.

    Get more detailed insights about API Management Market Research Report- Forecast to 2032

    Regional Insights

    By Region, the study segments the market into North America, Europe, Asia-Pacific, Middle East & Africa, and South America. API Management was dominated by the North American region in 2021. API management solution manufacturers dominate the North American market, and technological improvements and skilled technical experience are all contributing to its growth. Due to the growing number of mobile users and the penetration of e-commerce in emerging nations, the Asia-Pacific region is likely to see the fastest growth in the upcoming years. API management will probably see an increase in demand in the Asia Pacific region.

    API management platform adoption is expected to increase over the forecast period due to digital initiatives such as cloud, IoT, and analytics. With more organizations adopting Cloud API technology, organizations in the region are turning to iPaaS solutions for innovation and business continuity. Moreover, with the growth of digital economies in the Asia Pacific, open banking operations will be the next biggest disruption. API technology is being actively adopted by countries like Singapore to develop partnerships and create an ecosystem. The Asia Pacific economy is largely driven by small and medium sized enterprises, which account for 96% of businesses.

    Through API integration, digital platforms are enabling SMEs in the region to access financial services.

    Further, the countries considered in the scope of the API Managements market are the US, Canada, Mexico, UK, Germany, France, Italy, Spain, Switzerland, Austria, Belgium, Denmark, Finland, Greece, Hungary, Italy, Luxembourg, Netherlands, Norway, Poland, Portugal, Slovakia, Sweden, Romania, Ireland, China, Japan, Singapore, Malaysia, Indonesia, Philippines, South Korea, Hong Kong, Macau, Singapore, Brunei, India, Australia & New Zealand, South Africa, Egypt, Nigeria, Saudi Arabia, Qatar, United Arab Emirates, Bahrain, Kuwait, and Oman, Brazil, Argentina, Chile, and others.

    Key Players and Competitive Insights

    Major market players are spending a lot of money on R&D to increase their product lines, which will help the API Management market grow even more. Market participants are also taking a range of strategic initiatives to grow their worldwide footprint, including new product launches, contractual agreements, mergers and acquisitions, increased investments, and collaboration with other organizations. Competitors in the API Management industry must offer cost-effective items to expand and survive in an increasingly competitive and rising market environment.

    Amazon Web Services (AWS) has a multi-pronged strategy for the API Management market such as AWS API Gateway which is a fully managed service that makes it easy to create, publish, and manage APIs at scale. AWS provides a variety of services for data management, security, and management that can be integrated with AWS API Gateway to provide a complete solution for API management. Overall, AWS's strategy focuses on offering a comprehensive, integrated, and easy-to-use platform for API management that can be tailored to meet the specific needs of its customers.

    Strong R&D capabilities allow Amazon Web Services (AWS) to attain a competitive advantage over its peers, maintain a technological edge over its competitors, and stay ahead of industry trends.

    Key Companies in the API Management Market market include

    Industry Developments

    • Q2 2024: Kong Inc. Announces General Availability of Kong Gateway 3.6, Delivering Enhanced API Management and Security Capabilities Kong Inc. launched Kong Gateway 3.6, introducing new features for API management, including advanced security controls and improved developer experience, aimed at supporting enterprise digital transformation initiatives.
    • Q2 2024: Google Cloud and Postman Announce Strategic Partnership to Simplify API Management and Development Google Cloud and Postman entered a strategic partnership to integrate Postman's API platform with Google Cloud's Apigee API management, enabling joint customers to streamline API development and management workflows.
    • Q2 2024: Gravitee.io raises $30M Series B to expand open-source API management platform Gravitee.io secured $30 million in Series B funding to accelerate product development and global expansion of its open-source API management platform.
    • Q3 2024: Axway Acquires Streamdata.io to Enhance Real-Time API Management Capabilities Axway completed the acquisition of Streamdata.io, a provider of real-time API event-driven solutions, to strengthen its API management offerings with advanced streaming and event-driven capabilities.
    • Q3 2024: WSO2 Appoints New CEO to Drive Next Phase of API Management Growth WSO2 announced the appointment of a new Chief Executive Officer, signaling a strategic focus on expanding its API management and integration business globally.
    • Q3 2024: MuleSoft launches Anypoint API Governance to Strengthen API Security and Compliance MuleSoft introduced Anypoint API Governance, a new product designed to help organizations enforce security and compliance policies across their API ecosystems.
    • Q4 2024: IBM Launches API Connect 11.0.0.0 with Enhanced AI-Powered API Management Features IBM released API Connect 11.0.0.0, featuring AI-driven analytics and automation tools to improve API lifecycle management and security for enterprise customers.
    • Q4 2024: Tyk Secures $35 Million Growth Investment to Accelerate API Management Innovation Tyk, an API management platform provider, raised $35 million in growth funding to expand its product capabilities and scale operations in new markets.
    • Q1 2025: RapidAPI raises $60M Series D to expand API marketplace and management tools RapidAPI closed a $60 million Series D funding round to further develop its API marketplace and management solutions, supporting increased demand for API integration.
    • Q1 2025: Microsoft Azure API Management Adds Native Support for GraphQL APIs Microsoft announced the addition of native GraphQL support to its Azure API Management platform, enabling developers to manage and secure GraphQL APIs alongside REST and SOAP APIs.
    • Q2 2025: Red Hat Launches Managed API Management Service on OpenShift Red Hat introduced a fully managed API management service on its OpenShift platform, providing enterprises with scalable and secure API lifecycle management.
    • Q2 2025: Software AG and AWS Announce Partnership to Deliver Cloud-Native API Management Solutions Software AG and Amazon Web Services (AWS) formed a partnership to offer joint cloud-native API management solutions, targeting enterprise customers migrating to the cloud.

    Future Outlook

    API Management Market Future Outlook

    The API Management market is projected to grow at a 21.39% CAGR from 2024 to 2035, driven by digital transformation, increased cloud adoption, and the rise of microservices architecture.

    New opportunities lie in:

    • Develop AI-driven analytics tools for enhanced API performance monitoring.
    • Create industry-specific API solutions to cater to niche markets.
    • Implement robust security frameworks to address growing cybersecurity concerns.

    By 2035, the API Management market is expected to be a cornerstone of digital strategy, reflecting substantial growth and innovation.

    Market Segmentation

    API Management Regional Outlook

    North America
    • US
    • Canada
    • Mexico

    API Management Component Outlook

    • API Platform
    • API Analytics
    • API Security

    API Management Deployment Type Outlook

    • On-premises
    • Cloud

    API Management Industry Vertical Outlook

    • BSFI
    • IT & Communication
    • Retail
    • Manufacturing
    • Government
    • Healthcare
    • Others

    API Management Organization Size Outlook

    • SMEs
    • Large Enterprises

    Report Scope

    Attribute/Metric Details
    Market Size 2023 USD 4.22 billion
    Market Size 2030 USD 24.17 billion
    Compound Annual Growth Rate (CAGR) 21.40% (2023-2032)
    Base Year 2023
    Forecast Period 2024-2032
    Historical Data 2018-2020
    Forecast Units Value (USD Billion)
    Report Coverage Revenue Forecast, Competitive Landscape, Growth Factors, and Trends
    Segments Covered Component, Deployment Type, Organization Size, Industry Vertical, and Region
    Geographies Covered North America, Europe, Asia Pacific, Middle East & Africa, and South America
    Countries Covered The U.S, Canada, Mexico, Germany, France, UK, China, Japan, India, Australia, South Korea, UAE, and Brazil
    Key Companies Profiled IBM CORPORATION, MICROSOFT CORPORATION, AKANA, INC., CA TECHNOLOGIES, INC., CLOUD ELEMENTS, INC., HEWLETT-PACKARD ENTERPRISES CO., MASHAPE INC., MULESOFT, INC., ORACLE CORPORATION, REDHAT, INC., SAP SE, Amazon Web Services, Akamai Technologies, WSO2, Axeway, and Tibco software
    Key Market Opportunities Low code API development platforms API management platform with advanced analytics capabilities
    Key Market Dynamics Growing utilization of data-driven decision-making Automation and customization to streamline workflow Growing need for APIs to increase digital transformation

    Market Highlights

    Author
    Shubham Munde
    Research Analyst Level II

    With a technical background in information technology & semiconductors, Shubham has 4.5+ years of experience in market research and analytics with the tasks of data mining, analysis, and project execution. He is the POC for our clients, for their consulting projects running under the ICT/Semiconductor domain. Shubham holds a Bachelor’s in Information and Technology and a Master of Business Administration (MBA). Shubham has executed over 150 research projects for our clients under the brand name Market Research Future in the last 2 years. His core skill is building the research respondent relation for gathering the primary information from industry and market estimation for niche markets. He is having expertise in conducting secondary & primary research, market estimations, market projections, competitive analysis, analysing current market trends and market dynamics, deep-dive analysis on market scenarios, consumer behaviour, technological impact analysis, consulting, analytics, etc. He has worked on fortune 500 companies' syndicate and consulting projects along with several government projects. He has worked on the projects of top tech brands such as IBM, Google, Microsoft, AWS, Meta, Oracle, Cisco Systems, Samsung, Accenture, VMware, Schneider Electric, Dell, HP, Ericsson, and so many others. He has worked on Metaverse, Web 3.0, Zero-Trust security, cyber-security, blockchain, quantum computing, robotics, 5G technology, High-Performance computing, data centers, AI, automation, IT equipment, sensors, semiconductors, consumer electronics and so many tech domain projects.

    Leave a Comment

    FAQs

    How much is the API Management market?

    API Management market size was valued at USD 4.22 billion in 2023.

    What is the market size for 2030, for the API Management market?

    The API Management market size is projected to reach USD 24.17 billion in 2032.

    What is the growth rate of the API Management market?

    The market is projected to grow at a CAGR of 21.40% during the forecast period, 2023-2032.

    Which region held the largest market share in the API Management market?

    North America had the largest share in the market.

    Who are the prominent players in the API Management market?

    The key players in the market are IBM CORPORATION, MICROSOFT CORPORATION, AKANA, INC., CA TECHNOLOGIES, INC., CLOUD ELEMENTS, INC., HEWLETT-PACKARD ENTERPRISES CO., MASHAPE INC., MULESOFT, INC., ORACLE CORPORATION, REDHAT, INC., SAP SE, Amazon Web Services, Akamai Technologies, WSO2, Axeway, Tibco software, and other.

    API Management Market Research Report- Forecast to 2032 Infographic
    Free Sample Request

    Kindly complete the form below to receive a free sample of this Report

    Customer Stories

    “I am very pleased with how market segments have been defined in a relevant way for my purposes (such as "Portable Freezers & refrigerators" and "last-mile"). In general the report is well structured. Thanks very much for your efforts.”

    Victoria Milne Founder
    Case Study
    Chemicals and Materials