Philippine BPOs court new markets to cut US reliance
The Philippine IT-BPM industry is actively seeking to reduce its reliance on the United States market by expanding into the Asia-Pacific, Middle East, and Europe. The IT and Business Process Association of the Philippines (IBPAP) has outlined a four-point plan to attract more companies from Australia, Japan, the Middle East, and the United Kingdom. This initiative comes as Washington pursues policies like the Keep Call Centers in America Act, aiming to bring outsourced jobs back to the US. IBPAP aims to achieve $50.5 billion in revenues and employ 2.14 million people by 2028, a revised target from an earlier projection of $59 billion.
The Philippines’ push to diversify its BPO markets beyond the US reflects a strategic pivot for a key Asian service economy. IBPAP is targeting mid-market enterprises in banking, financial services, insurance, and healthcare across Australia, Japan, the Middle East, and the UK. This move is a direct response to US legislative efforts to reshore jobs, such as the Halting International Relocation of Employment Act, which could impact the Philippines' traditional revenue streams. While the industry aims for $50.5 billion in revenues and 2.14 million jobs by 2028, this forecast is notably lower than an earlier $59 billion projection. The success of this diversification hinges on IBPAP's ability to attract new global capability centers and sharpen its specialized service offerings, particularly in healthcare and fintech. The industry's ability to adapt to changing global outsourcing dynamics will be a key indicator for other Asian BPO hubs.
Related reading
6 stories
Cebu shifts from BPO to GCC hub
We previously reported on Cebu's strategic shift from a BPO focus to becoming a Global Capability Center hub.
Creators, retailers at risk of overreliance on cross-border digital platforms
This article highlights the risks of overreliance on a single market, echoing our past coverage on digital platform dependence.
HSBC Gives Wealthy Singapore Clients Access to Private Markets
OpenAI said to explore pre-IPO funding at $1.2T valuation
Samsung Starts Trial Production of Tesla AI Chips in Texas
