Communications APIs to Drive 32% of Operator Revenue by 2027

Juniper Research, a telecommunications market analysis firm, forecasts that communications services—including rich media messaging and conversational AI—will account for 32% of operator revenue from network APIs by 2027. The study highlights that the growing need for management tools in rich media technologies, such as RCS business messaging, will be a major factor in this revenue surge.

Communications APIs bridge operator networks with external applications, enabling third-party developers to integrate operator services into their platforms. This integration is becoming increasingly vital as SMS revenue continues to decline.

Operators are urged to embrace the shift towards rich media messaging and enhance their API offerings. Comprehensive messaging campaign management tools—featuring number verification and Large Language Models (LLMs) for AI—are essential for supporting RCS business messaging.

API frameworks like Open Gateway and CAMARA offer a robust foundation for exposing communications APIs to enterprises, thereby boosting the value proposition of RCS mobile messaging. To maximize API reach, operators should develop their own platforms to facilitate seamless integration with third-party enterprise systems.

Research author Molly Gatford emphasized, “As OTT messaging and undetected flash calling threaten operator revenues, communications APIs offer a critical opportunity to sustain traffic termination revenue and adapt to the declining demand for SMS.”