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What is an API Gateway? - Definition & Meaning

Learn what an API Gateway is, how it manages API traffic with rate limiting and authentication, and why it is essential for microservice architectures.

Definition

An API Gateway is a management layer that serves as the central entry point for all API requests. It routes requests to the appropriate backend services and provides functionality such as authentication, rate limiting, and monitoring.

Technical explanation

An API Gateway sits between clients and backend services, handling cross-cutting concerns. Core capabilities include request routing (forwarding requests to the correct microservice based on URL, headers, or payload), authentication and authorization (JWT validation, OAuth 2.0, API keys), rate limiting (restricting requests per client/time unit to prevent abuse), and request/response transformation. Kong is a popular open-source gateway built on NGINX with an extensive plugin ecosystem. AWS API Gateway offers serverless integration with Lambda functions. Traefik integrates seamlessly with container orchestration like Kubernetes. API versioning via the gateway enables serving multiple API versions simultaneously. Circuit breakers prevent cascading failures when backend services are unavailable. Gateway-level caching reduces load on downstream services. Logging and distributed tracing at the gateway provide comprehensive observability. gRPC-to-REST transcoding enables exposing gRPC services via REST endpoints for web clients.

How MG Software applies this

At MG Software, we implement API Gateways in projects with multiple backend services. We configure rate limiting to prevent API abuse, JWT authentication for secured endpoints, and request logging for debugging and monitoring. This provides our clients with a secure, well-managed API layer.

Practical examples

  • A fintech platform using Kong API Gateway to route payment API requests to the correct processing service, with rate limiting of 100 requests per minute per client.
  • A mobile app backend using AWS API Gateway to authenticate incoming requests with JWT tokens and forward them to various Lambda functions.
  • An e-commerce platform implementing API versioning through the gateway so v1 and v2 clients are served simultaneously without breaking changes.

Related terms

rest apimicroservicesload balancinggrpcssl tls

Further reading

Learn about REST APIMicroservices architectureWhat is load balancing?

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Frequently asked questions

A load balancer distributes traffic across multiple instances of the same service. An API Gateway routes requests to different services based on content (URL path, headers) and adds extra functionality like authentication, rate limiting, and transformation. In practice, they are often combined: the API Gateway routes to the correct service, and load balancers distribute within that service.
An API Gateway is strongly recommended for microservice architectures. Without a gateway, clients must know and directly call individual services, increasing complexity and security risks. The gateway provides a uniform entry point, simplifies client code, and centralizes cross-cutting concerns like security and monitoring.
That risk exists but is mitigated by making the gateway itself highly available via multiple instances behind a load balancer. Managed solutions like AWS API Gateway offer built-in redundancy. Additionally, gateways implement circuit breakers and caching to limit the impact of downstream failures.

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