- RapidAPI, the world’s largest API marketplace, announced it raised $25 million in Series B
- This round of funding was led by Microsoft’s venture capital arm M12
RapidAPI — the world’s largest API marketplace that helps developers find and connect to thousands of publicly available APIs — announced that it raised $25 million in Series B funding. This round of funding was led by M12 (Microsoft’s venture capital arm) with participation from DNS Capital. Existing investors Andreessen Horowitz and Green Bay Capital also joined this round. Including this round of funding, RapidAPI has raised a total of $37.5 million.
“Ten years ago, companies would develop software as a single monolith. With the shift to microservices, that monolith is deconstructed to hundreds of external APIs and dozens of internal APIs,” said RapidAPI founder and CEO Iddo Gino in a statement. “We started RapidAPI to help developers better manage and consume external APIs, and now we enable them to share and collaborate on internal APIs too, allowing them to work with greater velocity and efficiency.”
Ever since RapidAPI raised its Series A round of funding last year, the company expanded its team to 50 people and grew the number of APIs in its marketplace to 10,000, up from 8,000. And the company also captured more than 33% of publicly available APIs and doubled the number of developers using its platform from 500,000 to 1 million developers, thus processing over half a trillion API calls every month, up from 400 billion calls.
“Responding to the torrid growth of the API economy, RapidAPI is changing the way businesses scale with APIs and microservices,” added M12 general manager and managing director Mony Hassid. “We are excited about the potential for RapidAPI to enhance developers’ productivity, streamline duplicative work, and assist to combine API contracts.”
Hassid recently joined RapidAPI’s board of directors.
Over the last four years, RapidAPI has been building the top public API marketplace. And while working with its enterprise clients, RapidAPI realized the value of helping teams not only connect to public APIs, but also manage internal APIs.
And RapidAPI also expanded its public API marketplace offering by introducing RapidAPI for Teams — which is a self-serve platform for developers to publish, share, and collaborate on internal APIs and microservices. Plus it also allows developers to discover, test, enable, and manage the consumption of both internal and external APIs in one place.
Companies have been consistently underestimating the number of APIs that they use. And every piece of software that exists today leverages APIs, according to Ping Identity. And 25% of companies have more than 1,000 internal APIs or microservices. Plus another 35% have 400–1,000 internal APIs.
And managing a wide variety of internal APIs can be challenging. For example, it can be challenging for developers to discover and access these internal APIs while enabling IT leadership to have clear visibility into API usage and data flow within the organization.
“As the lego blocks for building a connected future, APIs help companies access data and competencies they wouldn’t otherwise have, or need to have, for that matter. We’re excited to support RapidAPI’s growth and their vision to help companies succeed with APIs,” explained Andreessen Horowitz general partner Martin Casado.
RapidAPI for Teams makes it possible for companies to avoid code and effort duplication. This ensures that their APIs produce consistent accurate data and results across platforms and devices. And this saves money in the process. For example, a company with 20,000 employees reported $10 million in savings a year as a result of using RapidAPI for Teams.
How much is RapidAPI for Teams? RapidAPI for Teams is free for the first five developers. And then RapidAPI for Teams is offered at $10 per developer per month and includes an unlimited number of teams, APIs, and API calls.
The APIs that are available within RapidAPI’s marketplace include Microsoft, SendGrid, Nexmo, Telesign, Google, Skyscanner, Crunchbase, and many more. Plus RapidAPI also works with large enterprise clients such as Cisco, Hyatt, SAP, Delta, and Reddit.