Everything you need to know about iPaaS

iPaaS solutions ensure systems and applications speak the same language, and your data reaches where it's supposed to go. Discover all you need to know about integration platform as a service.

Imagine your business as a bustling city with lots of different departments and systems that need to work together smoothly.  

But what happens when these systems don't speak the same language?  

That's where iPaaS, or Integration Platform as a Service, comes in!  

It's like a super-connector that helps all your different apps, data sources, and services talk to each other, analyze and extract important information, making everything run much more efficiently.  

In this article, we’ll explore everything about what an iPaaS is all about and how it can help companies and IT teams become more productive, solve major business pain points and save resources. 

What exactly is iPaaS? Let's keep it simple.

Think of iPaaS as a helpful cloud-based service that lets you connect all sorts of things – your different business apps, online and offline tools, and even the information stored in them.

Whether these things are in the cloud or on your own computers, iPaaS acts like a translator and a messenger, making sure they can all work together.

Experts like Gartner say that the demand for integrations has never been higher. As new technologies and AI come into play, you still have all your other systems in place. The best part about iPaaS is that you don't have to worry about the technical stuff.  

It allows everyday users, not just tech experts, to set up connections between different systems, both inside and outside your company.

Forrester, another group of experts, sees iPaaS as a set of online tools that help you build, run, and manage these connections. It doesn't matter if the apps are in the cloud or on your premises – iPaaS can handle it.  

They also highlight that iPaaS is critical for businesses that want to go digital, helping them improve how they use data, make their operations smoother, and come up with new ideas.

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 The reason iPaaS became so important is that businesses started using more and more online apps. This "app overload" made it tricky to keep everything connected with older methods. Traditional ways of linking systems were often slow, expensive, and hard to change. 

iPaaS was created to solve these problems by offering a way to connect systems that's faster, scalable and easier to grow with your business, and more affordable. 

Here are some cool things about iPaaS: 

  • It lives in the cloud: This means it can easily handle more or less work as needed. 
  • It's readily available: Many companies use the same underlying technology, which helps keep costs down while ensuring data security. 
  • It gives immediate value: No need for complicated installations. You can set it up yourself and start using it right away. 
  • It often uses simple tools: Many iPaaS platforms have easy-to-use interfaces where you can drag and drop things to create connections, so you don't need to be a coding whiz. 

What can iPaaS do? 

At its heart, iPaaS is designed to make sure your different systems can talk to each other and share information without any hiccups. As you know, even the smallest one can cost your company a lot of money. 

One of the main things iPaaS does is connect your various apps and data, no matter where they are stored. It usually does this through ready-made "connectors" that handle the tricky technical details of linking to different apps and technologies.    

But it's not just about connecting. iPaaS also helps transform your data so it makes sense across different systems.  

Think of it like this: if one app uses miles and another uses kilometers, iPaaS can convert the measurements so both apps understand the distance. It can also organize your data so that information in one system matches information in another.

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Another big win with iPaaS is that it can automate your business tasks. You can visually design "workflows" that tell the system what to do across multiple connected apps. It can be anything from connecting patient history to the local healthcare system, integrating the energy grid with a citizens’ portal, analyzing databases to support bank loans, or collecting information from your manufacturing service providers. 

These workflows can start automatically when something happens, run on a schedule, or you can trigger them yourself. This means you can automate complex, step-by-step processes without writing a ton of code.    

Since many modern apps use APIs (which are like digital doorways for sharing information), many iPaaS platforms also help you manage these APIs.  

This means you can create your own APIs, control who can use them, and keep an eye on how they're performing. This makes it easier to build interconnected systems and share information securely.    

To make sure everything is running smoothly, iPaaS platforms also have tools to monitor and manage your connections. They can show you how well your integrations are working, help you spot and fix any problems, and keep a record of what's happening. This helps you address issues quickly while ensuring your data is safe and compliant with any rules and regulations.

Why should your business care about iPaaS? 

Using an iPaaS solution can bring a lot of value to your business. One of the biggest is saving money; another is reducing the effort needed to manage your systems.  

Most iPaaS platforms work on a subscription basis, so you don't have to make big upfront investments in hardware and software. Plus, because many are easy to use, you might not need as many specialized IT people to handle your connections, which can also save you money.    

iPaaS also makes your business more flexible and able to adapt quickly. You can easily connect new apps and adjust how much integration power you need without headaches. This means you can respond faster to changes in the market and integrate new technologies exactly when you need them.    

Improving the quality and consistency of your data is another major benefit. By making sure data is shared correctly between systems and providing tools to clean up and organize your data, iPaaS helps ensure everyone in your company is working with accurate and up-to-date information.    

Here are some of the ways businesses have benefited from iPaaS integrations: 

  • Time-to-market reduced by 90% while development time became 50% cheaper (VehoGroup) 
  • Handling over 1.5 million orders while cutting IT maintenance costs by 35% (Eltel) 
  • Ensuring millions of healthcare appointments run smoothly with full financial overview (Mehiläinen) 
  • Processing over 5 million API calls per month with #1 travel app (Levi Ski Resort) 

The automation features of iPaaS can also significantly boost your team's productivity. By automating repetitive tasks that involve multiple apps, your employees can focus on more important and creative work.    

Furthermore, iPaaS helps connect different parts of your organization's IT systems, breaking down barriers and improving communication between various apps. This better flow of information can lead to improved teamwork and a clearer understanding of your overall business operations.    

Finally, iPaaS can help make your business more secure and compliant with regulations. iPaaS providers usually take security very seriously, and the platforms often include features that help you meet industry-specific rules.    

Which industries can benefit from iPaaS solutions? 

The answer is simple: any industry can benefit from integrations and an iPaaS platform. If you have a need for connecting different applications, data sources or systems, then iPaaS could be the right solution for you. 

The examples below show how different use cases and solutions can support specific industry needs: 

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Choosing the right iPaaS: What to look for 

Picking the best iPaaS for your business requires some careful thought.  

Here are some key things to consider: 

  • How well does it connect to your existing systems? Make sure it has connectors for the apps you use, cloud and on-premises systems.    
  • How easy is it to use? Look for a platform with a simple interface that doesn't require a lot of coding.    
  • Can it handle your growing needs? The platform should be able to scale as your business grows.    
  • How secure is it? Make sure it has strong security features to protect your data. 
  • What's the cost? Understand the pricing model and what you'll be paying.    
  • What's the vendor like? Check their reputation, support, and plans for the future.    

Here's a quick comparison between iPaaS and another common integration method called ESB (Enterprise Service Bus):  

Feature 

iPaaS 

ESB 

Where it lives 

Hybrid: Cloud-based or on-premise 

Usually on your own servers 

Who uses it 

IT and business users 

Primarily IT professionals 

Best for 

Cloud apps, real-time connections 

Older systems, complex message handling 

Cost 

Subscription-based 

Upfront licenses, infrastructure costs 

Who manages it 

Vendor manages it 

You manage it 

And here's a table summarizing the key factors to consider when choosing an iPaaS: 

Factor 

Description 

Key Considerations 

Integration Capabilities & Connectors 

The platform's ability to connect various systems and applications. 

Number and type of pre-built connectors, support for custom connectors, API connectivity, and supported integration patterns (e.g., batch, real-time). 

Ease of Use & Low-Code/No-Code 

The intuitiveness of the platform for both technical and non-technical users. 

User interface design, drag-and-drop functionality, pre-built templates, learning curve and citizen integrator support. 

Scalability & Performance 

The platform's capacity to handle increasing data volumes and integration complexity. 

Throughput, latency, ability to scale up or down based on demand and performance monitoring capabilities. 

Security & Compliance 

Measures taken by the platform to protect data and ensure adherence to regulations. 

Data encryption (at rest and in transit), access controls, authentication mechanisms, compliance certifications (e.g., SOC 2, HIPAA, GDPR). 

Cost & Licensing 

The pricing structure and associated costs. 

Subscription fees, pricing tiers, connector costs, data transfer limits, scalability costs and transparency of pricing. 

Vendor Credibility & Support 

The vendor's reputation, experience, and the quality of their support. 

Vendor's market presence, customer reviews, case studies, availability of support channels, response times, training resources, product roadmap and innovation. 

The future is smart: iPaaS and Artificial Intelligence 

The world of iPaaS is getting even more exciting with the rise of Artificial Intelligence (AI). AI is being added to iPaaS platforms to make them smarter and more helpful.  

For example, AI can help automate the process of matching up data fields between different systems, which can be a real time-saver. It can also help find errors in your data and even suggest ways to fix them. Plus, AI can look at how your integrations are working and recommend ways to make them even better.    

But it's not just about making iPaaS smarter. iPaaS is also helping businesses use AI in new ways. AI needs a lot of data to learn and make good predictions. iPaaS provides the connections to bring all that data together from different sources, making it easier for AI to do its thing.    

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This combination of AI and iPaaS is leading to some really cool applications, like AI-powered business processes that can make better decisions and run more efficiently.  

We're even seeing things like AI agents that can automatically choose and manage integration steps based on what's happening in your business.    

Some experts are even talking about "Super iPaaS" or "Intelligent Integration Platforms" that have AI built right in. These next-generation platforms will offer a more complete and intelligent way to connect your apps, automate your work, and get valuable insights from your data.    

What's next for iPaaS? 

The iPaaS market is growing rapidly as more and more businesses realize its benefits. Experts predict this growth will continue as digital transformation becomes even more important.    

Some key trends in the iPaaS world include: 

  • More user-friendly platforms: Making it easier for non-technical users to create and manage integrations.    
  • Smarter integrations: AI and machine learning are being built into iPaaS platforms.    
  • Better support for different environments: Handling connections across cloud, on-premises, and hybrid systems.    
  • Stronger security: With a continued focus on protecting data in an interconnected world.    

Some analysts even think that iPaaS might eventually become a standard feature within other types of software platforms. We might also see more specialized iPaaS solutions tailored to specific industries.

Get onboard with iPaaS 

iPaaS is a powerful tool that can help your business connect its systems, automate its processes, and ultimately become more efficient and agile.  

By understanding what iPaaS is, its benefits, and what to look for when choosing a platform, you can take advantage of this technology to help your business thrive in the interconnected world.