1. PAYPAL PLATFORM
EVOLVING FOR SIMPLICITY AND REACH
IBM
May 13, 2014
Deepak Nadig
Head of Platform Engineering

2. PayPal …
– 148 million active accounts
– 193 markets in 26 currencies
– 2013
– Total Payment Volume was $180 billion
– $27 billion in mobile payments
– Q1 2014
– Total Payment Volume of $52 Billion
– At $6688 TPV / second
– 834 million payments, 9+ million every day
– $1 in every $6 spent on e-commerce
– 25% spent on cross-border trade
THE PAYPAL CONTEXT
In a dynamic environment
– 300+ features per quarter
– We roll 100,000+ lines of code every two weeks

3. PAYPAL PLATFORM HAS EVOLVED
TO SUPPORT NEW INTEGRATION NEEDS
PayPal API
PayPal Capabilities
2001 Instant Payment Notification
2004 Transaction, Mass Pay API
2005 Direct Payment API, Express Checkout
2007 Payment APIs (NVP)
2009 Adaptive APIs (SOAP/XML, NV, JSON)
2013 Payment APIs (REST)

4. BACK TO 2012
CHALLENGES
• Inconsistent APIs
• Complex developer experience
• Not designed for mobile
• Tightly-coupled internal SOA
• Long product development cycle time

5. RETHINKING API AND DEVELOPER EXPERIENCE
Who are the end users?
Who are the developers?
How should we design our API?
How should we ease learning?
How should we simplify integration?

6. WHO ARE THE END USERS?
segments
experiences
expectations

7. WHO ARE THE DEVELOPERS?
tools and processes
technology preferences
role of our api

8. HOW SHOULD WE DESIGN OUR API?
internal api vs. external api
api portfolio vs. api
capability api vs. experience api
API Design Team

9. HOW SHOULD WE EASE LEARNING?
good documentation
sdk and code samples
sandbox

10. HOW SHOULD WE SIMPLIFY INTEGRATION?
familiar integration model
api call dashboard
customer support

11. 11
PLATFORM PRINCIPLES
API First
API Design
• Think API before experience
• API is a product
• Externalize-able
• Domain model & Integration scenarios
Developer Experience
• Easy to learn, integrate, diagnose
• Be the ‘developer’
API Quality Attributes
• Response-time
• Availability
Service Architecture
• Encapsulated, Isolated
• Craftsmanship

12. 12
INTEGRATION ARCHITECTURE
API
Facade
Payments Wallet Customer
Credit Risk Compliance
Invoicing
Disputes
PayPal OODC*
Applications
(Wallet, POS)
2nd-party
Applications
(eBay, Braintree)
3nd-party Server
Applications
(Uber, PhotoCard)
PayPal Web
Applications
(Falcon, Hawk)
Experience APIs
Capability APIs
Event Bus
Webhooks
3nd-party Mobile
Applications
(Uber, PhotoCard)
Batch
Processing
Notification APIs
Batch APIs

13. SUMMARY
• PayPal has grown phenomenally since its inception
• PayPal APIs have evolved to support this growth
• We revisited the basics to create a real platform
• That is founded on principles around ‘API as a product’
• We are rethinking integration with focus on simplicity and reach

14. dn@paypal.com
@deepak_nadig