When it comes to application programming interface (API) security, organizations often focus on securing APIs that they develop in-house. However, many companies fail to realize that using third-party APIs can pose security risks to their applications. These third-party APIs, which allow organizations to leverage external functionality or data, can expose businesses to issues such as malware, data breaches, and unauthorized access.
Third-party APIs are widely used in various industries, including navigation apps, social media platforms, and digital payment processing tools. These APIs, offered by companies like Google and Facebook, allow developers to integrate their applications or systems with external services or data, enhancing the user experience. However, the ubiquity and popularity of APIs also make them vulnerable to security breaches.
According to the State of API Security Q1 2023 report by Salt Security, approximately 94% of companies experienced security problems with production APIs in the past year, and 17% suffered API-related breaches. Therefore, implementing security measures for third-party APIs is crucial.
Jim McKenney, a practice director at NCC Group, emphasizes the importance of securing third-party APIs, stating that they can be weak points that potentially leak sensitive data or cause issues with the original software. API security protects communications between programs, defending against malicious attacks, unauthorized access, and emerging threats such as API abuse. Strong authentication, authorization, encryption, and monitoring are essential for ensuring the privacy, integrity, and availability of the API and its data.
The security of third-party APIs is vital for several reasons. Firstly, these APIs can access sensitive information, including user data and payment details. If a third-party API is compromised, it can lead to data breaches that affect both end-users and businesses relying on the APIs. Secondly, insecure APIs can expose applications or systems to vulnerabilities and attacks, potentially causing system failures or unauthorized access to resources. Thirdly, ensuring the security of third-party APIs is crucial for compliance with industry regulations, such as the GDPR and the United States Health Insurance Portability and Accountability Act. Compliance helps organizations avoid penalties and maintain trust with customers.
Furthermore, a security breach involving a third-party API can damage a company’s reputation, leading to a loss of customer trust and potentially affecting business partnerships. Therefore, organizations must adopt best practices to ensure the security of their third-party APIs.
The first recommended practice is maintaining an API inventory that includes third-party APIs. This inventory should be continuously updated, distinguishing between first-party and third-party APIs, and monitoring for shadow IT. Tracking APIs that transmit business-critical information enables focused risk assessments of vendors.
Choosing reputable providers with strong security measures is crucial. Organizations should investigate the security controls and encryption practices of third-party API vendors. Regular monitoring of API logs for suspicious activity and ensuring the encryption of sensitive data sent through the API are essential steps for strengthening security.
Vendor security testing is another important practice. Organizations should assess a vendor’s security controls across the different stages of the third-party API’s lifecycle. This includes evaluating security development practices, vulnerability management programs, and operational security measures. Testing third-party APIs using dynamic application security testing capabilities can help identify vulnerabilities, vulnerable components, or out-of-date components within these APIs.
Additionally, rotating API keys is crucial for maintaining security. Regularly changing the unique string used to identify a user’s request helps prevent unauthorized access and potential financial exploitation.
By implementing these best practices, organizations can significantly enhance the security of their third-party APIs. This not only protects sensitive data and prevents breaches but also ensures compliance with regulations and maintains the trust of customers.