Discussion of Netflix API on Mashery

An API (Application Programming Interface) is used by programs to let users like developers, customers use a program for different reasons. Developers are able to use a program's API to enhance their own programs and add more usability without having to actually develop their own code for the functionality. Netflix developed an API that let many developers see their code, in return netflix would be able to increase their processing by 10%.

There are numerous pros and cons with an API. The pros of an API let's users develop on it. If there were to be innovation, it is much quicker with many looking at the code than just the people who work for Netflix. Netflix coined a term, "Innovation through Iteration" the meaning of this term means that by continually updating their website every two weeks with users feedback, they be ahead of the competition in terms of User friendliness and user experience.

The cons of an API include giving out source code, that competition could use and manipulate to give them the competitive advantage. Also, if enough users use the API the financial cost to host the API through bandwidth may be a financial burden, as there may be no revenue coming through it.

For the Netflix API, I liked the case study and am intrigued at how the company has gained so much presence in the market. Although through recent decisions by the Executives at Netflix, the company seems to be losing steam. The agile business model they kept in the beginning stages helped them get them where they are now. Hulu could become a main competitor, if they also allowed movies and not just Television shows. As time goes on, more and more web streaming service companies will open which will allow customers to stream movies, tv shows, documentaries, etc and Netflix has to keep its competitive advantage by having tested UI that has customers keep coming back for more.


Netflix API: Case Study on Mashery