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REST API vs. SOAP: The Ultimate 2025 Guide for Developers and Enterprises

Sophie Jones | 7 May 2025

Quick Decision Tool

Answer these to find your match:

  1. "Is your project cloud-native or mobile-first?" → REST

  2. "Do you need WS-Security or ACID compliance?" → SOAP

  3. "Building a public API developer community?" → REST

 

???? Why This Matters in 2025

  • REST dominates (85% of new APIs) but SOAP still powers $9T/day in banking transactions.

  • Mischoosing costs 3x more in dev time and scalability fixes.

1. What Are REST and SOAP?

REST API

  • Architecture: Stateless, Cacheable, uniform interface (HTTP methods: GET/POST/PUT/DELETE)

  • Data Format: JSON (90% usage), XML, YAML

  • Speed ⚡ Avg 50ms latency (Postman 2025 benchmarks)

// Sample REST API Call (JSON)
fetch('https://api.example.com/users', {
  method: 'GET',
  headers: { 'Authorization': 'Bearer token' }
});

SOAP API

  • Architecture: Stateful, strict standards (WS-*)

  • Data Format: XML-only (verbose but structured)

  • Security: ???? WS-Security (encryption, digital signatures)

<soap:Envelope xmlns:soap="http://schemas.xmlsoap.org/soap/envelope/">
  <soap:Body>
    <GetUser xmlns="https://api.example.com">
      <UserID>123</UserID>
    </GetUser>
  </soap:Body>
</soap:Envelope>

2. REST vs. SOAP: Key Differences (2025)

Feature REST API SOAP API Winner
Speed ⚡ 50ms avg. latency ???? 300ms+ avg. latency REST
Security HTTPS + OAuth2/JWT WS-Security (XML encryption) SOAP
Scalability ✅ Stateless = easy scaling ❌ Stateful = complex REST
Flexibility JSON/XML/YAML, any HTTP tool XML-only, SOAP-specific tools REST
Use Cases Mobile apps, microservices, cloud Banking, healthcare, legacy ERP Depends

2025 Trend:

  • REST is replacing SOAP except where compliance mandates SOAP (e.g., HIPAA in healthcare).

3. When to Use REST API (2025 Use Cases)

✅ Best For:

  • Web/Mobile Apps (Twitter, Shopify APIs)

  • Microservices (Kubernetes, serverless)

  • Public APIs (Developer-friendly docs)

Case Study:

*"Uber’s switch to REST saved $2M/year by reducing API latency from 400ms to 50ms."*
(Source: Uber Engineering Blog)

 

4. When to Use SOAP API (2025 Use Cases)

✅ Best For:

  • Banking Transactions (JPMorgan’s $9T/day system)

  • Healthcare (HIPAA) – Patient data exchange

  • Legacy ERP (SAP, Oracle E-Business Suite)

Case Study:

"Swiss banks still use SOAP for end-to-end WS-Security meeting FINMA regulations."
(Source: IBM Banking Report)

 

5. 2025 Trends: GraphQL Rising?

  • GraphQL is gaining for:

    • Complex queries (fetch nested data in 1 request)

    • Frontend-driven development (React, Vue)

  • But…

    • REST still rules for simplicity (85% adoption)

    • SOAP remains unchallenged in regulated sectors

6. Migration Guide: SOAP → REST

Step-by-Step Process

  1. Audit SOAP Dependencies (WS-* standards used)

  2. Build REST Endpoints (Start with /v1/ legacy support)

  3. Test Performance (Postman/Swagger benchmarks)

  4. Monitor 3 Months (Check for SOAP-dependent clients)

Cost Estimate:

  • 25k–100k for mid-sized enterprises

  • 6–18 months for full decommission

7. FAQ Schema (For Google Snippets)

❓ "Is SOAP dead in 2025?"

No. SOAP still powers 15% of APIs in banking, healthcare, and ERP.

❓ "Can REST APIs be as secure as SOAP?"

Almost. With HTTPS + OAuth2 + OpenID Connect, REST reaches 90% of SOAP’s security.

❓ "Should I use GraphQL instead?"

Only if:

  • You need complex data fetching

  • Your frontend team demands it

 

8. Free Tools to Test Your APIs

  1. Postman (Download) – REST/SOAP testing

  2. SoapUI (Download) – SOAP-specific validation

  3. Swagger (Try Now) – REST documentation

 

Choosing Tools for Your API Strategy

Once you've selected between REST or SOAP, you'll need the right integration platform. Our 2025 API Integration Showdown compares how Zapier, MuleSoft, and Workato handle both REST and SOAP APIs for different use cases.

9. Conclusion: REST or SOAP in 2025?

  • Choose REST if: You value speed, scalability, and developer experience.

  • Choose SOAP if: Compliance (HIPAA, FINMA) or legacy systems demand it.

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