Jon Moore gave an excellent talk in Nov 2010 about the nuts and bolts of writing a truly RESTful (i.e. HATEOAS supporting) API and client. In the first part, he suggests the JSON is not a proper media type for REST because it lacks a commonly understood way of representing links and supported HTTP methods. He argues that good ol’ XHTML is actually perfect for this since tools for parsing it (i.e. XPath) are readily available, it supports forms (think GET link templating and PUT, POST, and DELETE methods) and has a well-understood way of identifying hyperlinks, plus some other advantages mainly achieved through the ability to use the API with any standard web browser (eases the jobs for devs, QA, and support staff.)
The argument I’d always made prior to watching his talk is that JSON is so much lower of bandwidth consumer than any *ML language e.g. XML, HTML, XHTML. But by using terse XHTML where possible such as relative links instead of absolute ones (hinted at but not so evident in the example he uses throughout his talk), and by using gzip compression, this argument loses a lot of weight.
I realize efforts such as JSON-Schema and other RFC’s are underway to try standardizing things in JSON, but in the meantime, Moore’s talk convinced me to give XHTML a try.