The AMP Value Proposition for Technology Developers

Part four of a four-part series on the value of AMP™

So far, we’ve defined the AMP™ system by detailing what AMP™ is and clarifying what AMP™ is not designed to do. We then discovered how AMP benefits agents and brokers, followed by an examination of benefits for MLSs and Associations. In this last post, we’ll work to highlight AMP’s value to technology developers.

The AMP™ system will benefit every segment of the real estate industry, not the least of which are the technology vendors, both large and small, both legacy and newly emerging, all of whom will have access to greater market share as a result of the open AMP™ architecture.

How AMP Benefits Vendors

The current state of affairs

A number of vendors have come and gone over the past 40 years. Today’s survivors include fewer than a dozen companies who have built large centralized, all-encompassing integrated systems.

Due to the proprietary nature of each of these systems (for storing, searching and reporting real estate data), small developers struggle to build applications that can easily interface to these larger systems. Why?

  • Because each of these large systems is different, a developer needs to modify the program to work on each of the individual systems.
  • Moreover, vendors customize their MLS systems for each market that they serve, so modifications a developer makes for one market will not necessarily work in the next.

Legacy MLS system vendors compete voraciously for MLS contracts in a winner take all, one vendor per market, slugfest. Among major vendors offering similar capabilities, these contests often come down to a price war—with negative results.

  • Driving down the price per user to the point causes system vendor profits to dwindle, thereby limiting their ability to reinvest in research and development needed for innovation and system improvement.
  • Once awarded, these contracts run for a number of years and effectively block any other major vendor from offering services in that market until the contract is up for renewal.

AMP™ will completely change the dynamic in the system vendor arena.

  • AMP™ enables developers of all kinds to write their programs once and allow them to work on any AMP™ powered MLS system anywhere, without modification. How?
    • By providing a standardized database that adheres to widely adopted industry data and transfer standards (RESO/RETS)
    • And is accessible through openly published and standardized application program interfaces (APIs).
  • With AMP, vendors will accomplish MLS integrations faster and more efficiently since the interface would be the same across all MLSs. Vendors no longer have to write new code for every MLS system or convert their products when the MLS changes system vendors or adds a new data field.
  • The open structure of the AMP™ system will enable new, smaller developers to enter the real estate marketplace.
  • By opening the MLS, technology vendors will find more open markets, more agents available to buy their products, and more opportunity to increase revenue with lower development and support costs.
  • Access to MLS data will be in real time through the API so vendors will no longer have to download and aggregate MLS data to make their applications work.
  • Mobile applications take many forms, multiplying many times over the development efforts needed to keep all of their apps working across multiple MLS systems. Under the AMP™ scenario, mobile app developers will enable their many applications to work in every market without modification.

So what do you think? Ready to get on board? This is your chance to be a part of building the future MLS ecosystem and redefining the technology we will use in the future to serve our members. There is no cost, no contract, and no long term obligation in order to participate as an AMP early supporter.

Contact the AMP team today or learn more by visiting our AMP page on the RPR blog.

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