Twilio pricing india7/31/2023 ![]() This macro tailwind has helped Twilio expand its revenue stream into multiple sectors and service types. Get an automatic call back when calling customer service agents.Receive OTP notifications via SMS when logging into their banking app.Be able to send text and make video calls via their favorite communication app for free.Receive SMS notification if their rideshare car is arriving.The explosion of digital businesses that require programmatic communication has helped Twilio expand its total addressable market (TAM) rapidly. ![]() Macroeconomic tailwinds – the explosion of digital businesses that require programmatic communication.The increase in Twilio’s market cap is driven by two key factors: Five years later, as of this writing, the company’s market cap has increased to US$66.6 billion. In 2016, two years after the WhatsApp acquisition, Twilio went public at around US$2.4 billion. Around the time of the WhatsApp acquisition, Twilio was valued at only US$1 billion in the private market. How has the company increased in value?Īs it is always the case, the business that owns the customer relationship captures most of the value. Twilio now counts more than 190,000 businesses as its customers. Twillio’s service expansion continues to enable others (WhatsApp, Lyft, Uber, Airbnb, etc) to not only send programmatic messages (SMS, OTP, transactional messages), make phone calls, and send timely emails, but also have a holistic view of the customer engagement. Thanks to Twilio, anyone can easily adopt a programmable messaging system.Īlthough the company started off with SMS and Voice, Twilio has expanded to other services (video, email, IoT) through product expansion and acquisitions (it acquired SendGrid, an email API provider, and Segment, an analytics platform). Twilio’s service removes the significant complexities (plugging into different telco carriers worldwide) that are required to provide a global telephone service. The more than US$21 billion of value that WhatsApp was able to capture (with only 50 or so employees at the time) was only possible because Twilio provides simple-to-use APIs that enables WhatsApp to send and receive SMS, through the internet, at a global level. The company that powered WhatsApp is Twilio. WhatsApp was able to grow rapidly because it allowed people to communicate internationally via text for free, a significant departure from the costly SMS that was prevalent at the time.īut we are here not to talk about WhatsApp. At the time of the acquisition, WhatsApp only generated ~US$10 million in revenue, but had more than 450 million users worldwide. In October 2014, Facebook bought WhatsApp for more than US$21.8 billion. When an enterprise needs to manage its employees’ access to any application or device, they can do so easily with Okta’s APIs. Okta provides identity management services. ![]() When a business wants to accept credit card payment over the internet – it can do so easily using Stripe’s APIs. When Uber wants to let you know that your car is arriving, it uses Twilio’s SMS service to send you a message. Twilio provides communication services.This means that it is often the case that it’s easier for most companies to use external services provided by these API providers than to build their own solutions. Their APIs are typically used to provide infrastructure services that are required, but are typically not core to one’s business.As a result, revenue of API-first SaaS companies can scale rapidly – the more their customers grow, the more they consume the APIs, the more revenue the API companies generate. ![]() Even though at the beginning these APIs are low-cost (or free), the cost scales with usage. The more frequent the APIs are used, the more revenue these companies generate.
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