AI Skills for the New Economy: How the Philippines is Preparing for the Future

KMC Solutions
5 min readMar 4, 2024

Introduction

There’s little doubt that artificial intelligence (AI) is emerging as a force to be reckoned with, with the technology rapidly transforming industries across the globe. As AI reshapes the way we work and live, countries are increasingly recognizing its importance and investing in AI research and development.

The Philippines is no exception to this trend. In 2023, the Philippine government allocated PHP 1.5 billion (US $30 million) for AI research and development, signaling a significant commitment to harnessing the technology’s potential.

In this paper, we’re going to explore how the Philippines is preparing for the future by cultivating AI skills, addressing the global demand for AI talent, and how KMC Teams can help foreign companies build and manage talented AI teams in the Philippines over the coming years.

The Global Demand for AI Talent

With AI affecting any number of industries — from healthcare and finance to transportation and customer service — it’s creating a surge in AI jobs. Companies worldwide are actively seeking AI experts to develop innovative solutions and gain a competitive edge, with AI talent acquisition a new priority.

The Skills Gap

While the demand for AI talent is on the rise, a significant skills gap exists in many countries. This gap poses a significant challenge to organizations looking to harness the technology’s potential. It is not just about the number of job openings, it’s also about finding individuals with the right AI skills to fill these positions.

The Philippines evidently understands the importance of bridging this gap, with the government, educational institutions, and private organizations taking proactive steps to prepare the workforce for an AI-driven future.

Why The Philippines Is Poised For AI Skills

A Strong Stem Education System

The Philippines has a strong STEM education system, which
produces a large number of graduates in computer science,
mathematics, and engineering.

A Young And Tech-savvy Population

The Philippines has a young and tech-savvy population. More
than half of the population is under the age of 30, and many
Filipinos are interested in pursuing careers in technology.

A Growing AI Industry

The Al industry in the Philippines is growing rapidly. This is
creating a demand for Al talent, which is helping to attract and
develop qualified workers.

Mathematics

Mathematics is a core subject in the Philippine education
system. As a result, there is a large pool of Filipinos with a
strong foundation in mathematics.

Statistics

Statistics is another core subject in the Philippine education
system. In addition, there are a number of specialized statistics
programs offered by universities in the Philippines.

Data Structures And Algorithms

Data structures and algorithms are taught in most computer
science programs in the Philippines. As a result, there is a large
pool of Filipinos with a good understanding of data structures
and algorithms.

Computer Science Fundamentals

Computer science fundamentals are taught in all computer
science programs in the Philippines. As a result, there is a large
pool of Filipinos with a good understanding of computer
science fundamentals.

The Philippine AI Strategy

The Philippine government’s allocation of PHP 1.5 billion for AI research and development demonstrates a clear commitment to advancing AI capabilities within the country. This financial investment is aimed at fostering innovation and AI research, which will, in turn, boost economic growth and job opportunities.

The strategy includes funding for AI research projects that can potentially yield breakthroughs in AI technology. By supporting local AI researchers and startups, the government aims to create an environment conducive to AI innovation.

Additionally, the Commission on Higher Education reports a 50% increase in the number of AI-related courses offered by universities in the Philippines over the past year. From programming and machine learning to data warehousing and processing courses, this rise in offerings demonstrates a growing interest in AI education.

With programming skills such as Python, Java, and C++ already prevalent in the Philippines, the country is in a prime position to move quickly and effectively into an AI-driven market.

Public-Private Collaboration

Recognizing the need for a multifaceted approach, the IT and Business Process Association of the Philippines (IBPAP) has forged partnerships with universities and other organizations to train over 10,000 Filipinos in AI skills by 2025.

Global tech giants, including Google, Amazon, and Microsoft, have also recognized the potential of the Filipino talent pool. Google’s AI Philippines Developer Challenge is a prime example of private sector involvement. This initiative not only provides training but also encourages local AI developers to explore innovative solutions and contribute to the global AI landscape.

University Partnerships

Further to this, IBPAP has established partnerships with several universities to offer AI training programs tailored to the needs of its members. For example, IBPAP’s collaboration with De La Salle University offers a Data Science and AI Executive Certificate Program. This partnership-driven approach ensures that industry-relevant AI skills are integrated into academic curricula, making graduates more attractive to employers.

The Role of KMC Teams in Building AI Teams

Foreign companies looking to establish a presence or build offshore AI teams in the Philippines can leverage the expertise of KMC Teams. KMC Teams specializes in providing the necessary infrastructure, support, and management services to set up and manage offshore teams efficiently.

This, coupled with the significant strides the Philippines is taking to prepare its workforce for the opportunities that lie ahead, makes the country an increasingly attractive hub for AI innovation. With KMC Teams gearing up for a dynamic future in the AI sector, we’re perfectly placed to train a young and digitally-savvy pool of AI talent.

Looking Ahead

With the dramatic rise in global demand for AI professionals, the Philippines is positioning itself to meet this demand head-on. By nurturing a skilled AI workforce, the country is not only securing its own economic future but also contributing to the global advancement of artificial intelligence. As the world becomes increasingly reliant on the technology, the Philippines is taking proactive steps to ensure that it evolves into a key player in the arena.

While the journey toward AI readiness is an ongoing one, the progress made so far is a testament to the country’s commitment to embracing the technology. With KMC Teams providing global companies with an efficient route to access this AI talent as it arrives, we’re creating a very productive, human environment in which AI can flourish.

To find out more about KMC Teams and how we can help you build and manage an offshore team that specializes in AI technology, please don’t hesitate to contact us.

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KMC Solutions

KMC provides Employer of Record services and flexible workspace in the Philippines for 100’s of American, Australian, Singaporean and European companies.