Alphabet Inc’s Google said on Thursday it is acquiring cloud software company Apigee Corp in a deal valued at about $625 million (roughly 2.118 trillion UGX), the tech giant’s latest effort to claim a greater share of the lucrative cloud business.
APIs, are a key component in a company’s digital arsenal, as they enable developers to integrate back-end services with outside mobile and web-based apps. In fact, research firm Forrester predicts spending on API management will reach nearly $3 billion by 2020.
While there are many companies providing API management tools, Google says it was drawn to Apigee for its supporting features around security, testing support, and usage analytics.
“The addition of Apigee’s API solutions to Google cloud will accelerate our customers’ move to supporting their businesses with high quality digital interactions,” said Google SVP Diane Greene, in a blog post.
“Apigee will make it much easier for the requisite APIs to be implemented and published with excellence.”
Google said it plans to utilize Apigee’s API management platform to bolster the Google App and Google Container engines, ultimately making it easier for these services to provide exported APIs.