by The Rise of Philippines Robot as a Service Market
Over the past decade, the Philippines has rapidly emerged as a global leader in business process outsourcing and one of the largest sources of offshore talent. However, as labor costs have risen in recent years, some companies have been exploring alternatives to human-driven operations. One growing option is the adoption of robotic process automation (RPA) technologies. According to a recent study by the International Data Corporation, worldwide spending on RPA is expected to grow at a compound annual growth rate of nearly 20% through 2022. In the Philippines, this trend towards robotic automation is in full swing.
Growth of the Philippines Robot as a Service Market
A number of factors have contributed to the Philippines becoming a top choice for RPA development and implementation. For one, the country already has a large, skilled workforce with extensive experience in business operations and process management thanks to its prominence in the BPO sector. The business environment is also receptive to new technologies and digital transformation. Additionally, the government has been actively supporting initiatives around AI and robotics to further economic growth. Major global RPA vendors and service providers have taken notice as well, establishing significant operations in the Philippines over the past five years to tap into the available talent pool and opportunities. As a result, the local RPA industry has exploded, growing at an estimated 40-50% annually according to industry forecasts. Domestic RPA firms have also emerged to serve both international as well as local clients.
Robot as a Service Gaining Popularity
Rather than making large upfront investments in hardware and software licenses, many organizations are now choosing to utilize Philippines Robot as a Service (RaaS) models. This allows clients to pay an ongoing subscription or usage-based fee to access automated solutions on-demand via the cloud. RaaS has become quite popular, especially for smaller and mid-sized companies that lack the budget or in-house expertise for a traditional RPA rollout. In the Philippines, the RaaS model has taken off as well, with local service providers offering tailored solutions that can be easily integrated into existing systems and processes. Some key advantages of RaaS include:
– Low initial costs with pay-as-you-go pricing that scales with business needs.
– Rapid deployment timeframe – no requirement for lengthy procurement cycles.
– Expert configuration and management of bots by specialized RPA teams.
– Continuous upgrades and maintenance included at minimal additional fees.
– Flexibility to test automation capabilities before making larger investments.
Leading Philippine RaaS Providers
Several RaaS pioneer firms based in the Philippines have emerged as market leaders. Here are some of the top players:
Anthropic: Founded in 2021, Anthropic develops AI safety technologies and offers an AI-as-a-service platform. The company partners with businesses to build custom bots and automation solutions tailored to specific workflows using its Constitutional AI techniques.
Automation Anywhere: A global RPA software vendor with one of its largest R&D centers based in Manila. Automation Anywhere Philippines provides cloud-hosted RPA and intelligent automation through its Bot Store and IQ Bot services.
XRCelebrate: Formed in 2018, XRCelebrate’s Robotic Workforce-as-a-Service includes intelligent document processing, data extraction, and backend automation delivered via the cloud on a subscription model.
Procbess Street: Founded in 2014, Process Street offers a no-code process automation platform used by over 50,000 companies globally. The company recently expanded its Manila-based operations to 200+ employees focused on RaaS solution design and delivery.
Opportunities for Continuous Innovation
Moving forward, industry watchers expect the Philippines RaaS market to witness exponential growth as more firms adopt a cloud-first strategy for digital transformation. Both global and local providers are investing heavily in expanding their capabilities around areas like cognitive automation, machine learning, and AI-based consultancy. They are also developing solutions tailored for in-demand industry verticals in the Philippines like healthcare, fintech, e-commerce and more.
In Summary, with its competitive talent pool and pro-technology policies, the country is well-positioned to become a global hub for intelligent automation innovation and delivery in the years ahead as part of its Industry 4.0 ambitions. Overall, the rise of the robotic process automation industry in the Philippines shows no signs of slowing down.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
