Total outsourcing services spending in the Philippines is expected to exceed US$500 million by 2021, according to the latest forecast from the IDC APeJ Semiannual Services Tracker. Enterprises’ Digital Transformation (DX) initiatives, as well as changing patterns of IT procurement and rapidly evolving service delivery models, will drive the Philippines outsourcing market. “The Philippines outsourcing market is undergoing a dramatic transformation propelled by the increasing adoption of disruptive technologies,” says Alon Anthony Rejano, Market Analyst for Services, IDC Philippines. “In the age of greater automation, standardization, and modernization, external providers need to keep up and redefine their value proposition, offering new delivery and consumption models.”Multiyear and multimillion-peso outsourcing deals are decreasing as end users look at cost cutting and show inclination toward cloud. This, in turn, is adding price pressure on providers, which drives vendor consolidation.”
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