<\/p>\n
By Beatriz Marie D. Cruz, <\/b>Senior Reporter<\/i><\/p>\n
THE PHILIPPINE information <\/span>technology-business process <\/span>management (IT-BPM) industry slashed its revenue and employment targets for 2028, citing the rapid adoption of artificial in<\/span>tel<\/span>ligence (AI) and intensifying <\/span>global competition.<\/span><\/p>\n In its revised roadmap, the Information Technology and Business Process Association of the Philippines (IBPAP) projected that under a downside scenario, the IT-BPM industry could post $43.3 billion in revenues and 1.85 million <\/span>in AI-enabled employees by 2028.<\/p>\n Under a best-case scenario, the industry is predicted to generate $50.5 billion in revenues and boost its headcount to 2.14 million by 2028.<\/p>\n These recalibrated targets are much lower than the IBPAP\u2019s initial projection of $59 billion in revenues and a pair of.5 million in full-time employees by 2028 under its previous roadmap.\u00a0 \u00a0 \u00a0<\/span><\/p>\n IBPAP President and Chief Executive Officer Jack Madrid said the revised projections have factored in disruptions brought on by rapid adoption of AI, changes in buyer behavior, and heightened competition in the worldwide IT-BPM industry.\u00a0 \u00a0<\/span><\/p>\n \u201cWe reviewed among the strategic initiatives we want to embark on to be sure that our industry continues to grow and to deal with any changes within the initiatives needed given all of the events which have happened prior to now several years. It\u2019s not only technology and agentic AI but in addition addressing among the uncertainties brought on by geopolitics and our own domestic opportunities and challenges,\u201d he said at a briefing on Tuesday.<\/p>\n Mr. Madrid noted that the industry roadmap, which was first began in 2022, was \u201crefreshed\u201d since a whole lot of conditions have modified.<\/p>\n Mr. Madrid noted that global buyers are taking longer before deciding to speculate in offshore op<\/span>erations, citing the rise of other IT-BPM hubs in South Africa, Egypt, Poland, Vietnam, Colombia, and Costa Rica.<\/p>\n \u201cWe’re number two in the worldwide IT-BPM [industry,]\u201d he said, noting that India stays the highest BPO player. \u201cThe challenge before us is whether or not we will move fast enough to capture this next wave of opportunities.\u201d<\/p>\n For the downside scenario in 2028, Mr. Madrid said the IBPAP factored in policy-related issues that would discourage investors, depth of talent, quality of infrastructure, and challenges on the benefit of doing business.<\/p>\n This yr, the industry\u2019s revenues are projected to achieve $42.3 billion from $40 billion in 2025. The entire headcount is predicted to rise to 1.96 million full-time employees from 1.9 million last yr.<\/span><\/p>\n For 2027, the IBPAP expects the industry to grow to $45.3 billion in revenues and 1.99 million full-time employees. <\/span><\/p>\n \u201cSuccess will depend upon how quickly we put money into talent, embrace AI responsibly, and deepen collaboration between industry, government, and academe,\u201d Mr. Madrid said.<\/p>\n IBPAP said developing an AI-enabled IT-BPM workforce would require stronger AI literacy, deeper domain expertise, and greater emphasis on human skills similar to judgment, critical pondering, empathy, and leadership.<\/p>\n Mr. Madrid also emphasized the necessity to position the Philippines as a hub for global capability centers (GCC). At present, the country hosts about 200 GCCs.<\/p>\n \u201cWhen it comes to GCCs, I believe the expansion sectors come from banking, financial services, and healthcare,\u201d he said.<\/p>\n On AI, Mr. Madrid said the IT-BPM industry has yet to see its widespread impact.<\/p>\n \u201cI believe AI is an actual development, but I believe now we have probably not seen it scale yet,\u201d he said. \u201cAI has affected some jobs\u2026 but for entry-level jobs that among the AI trials have affected, those employees were capable of be redeployed.\u201d<\/span><\/p>\n Meanwhile, IBPAP Chief Operating Officer Celeste B. Ilagan said there may be a necessity for policies to enhance the benefit of doing business and address insider cybercrime within the country.<\/p>\n \u201cWhat we see can be a challenge is that the prevailing investors within the country, who can probably expand more but are hampered by some policy and regulatory challenges, are actually having second thoughts when it comes to the expansion they’ve earlier planned for the Philippines,\u201d <\/span>she told the identical briefing.<\/p>\n \u201cThere may be all the time a matter from client headquarters concerning the growing diff<\/span>iculty of coping with our local government units. That\u2019s really amongst the foremost issues which are raised to us by our members,\u201d Ms. Ilagan said.<\/p>\n<\/p><\/div>\n <\/p>\n","protected":false},"excerpt":{"rendered":" REUTERS\/DADO RUVIC\/ILLUSTRATION By Beatriz Marie D. Cruz, Senior Reporter THE PHILIPPINE information technology-business process management (IT-BPM) industry slashed its revenue and employment targets for 2028, citing the rapid adoption of artificial intelligence (AI) and intensifying global competition. In its revised roadmap, the Information Technology and Business Process Association of the Philippines (IBPAP) projected that under […]<\/p>\n","protected":false},"author":1,"featured_media":366523,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[7],"tags":[1261,3009,3474,3430,1078,17626,2364,7815],"class_list":["post-366522","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business","tag-competition","tag-cut","tag-force","tag-global","tag-industry","tag-itbpm","tag-philippines","tag-targets"],"aioseo_notices":[],"aioseo_head":"\n\t\t\n\t\n\t\n\t\n\t\n\t\n\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t