Many software entrepreneurs are interested in creating a working business around an API. As such, the API-as-a-Product trend has blossomed in recent years, with more and more startups beginning to embrace an API as a core SaaS business offering. This is exciting, as a self-service API could generate passive income for the provider.
However, it may not be as “passive” as you think. Sustaining an excellent API-as-a-Product requires a good deal of ongoing support. There are also many open-ended questions to answer when forming your business model. For example, how should API calls be priced? How should we design the service for a quality developer experience? How can we evolve the API without introducing breaking change? What challenges should we anticipate as usage scales?