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Positive outlook for ICT innovations and government support in Philippines in 2016: IPC report

Adrian M. Reodique | Dec. 21, 2015
The Philippine ICT industry will increase the use of hybrid cloud, and gain a better support from the government in 2016.

Cloud computing and data centre firm IP Converge Data Services, Inc. (IPC) foresees a positive outlook for the Philippines' information and communication technology (ICT) sector in the coming year.

According to IPC's press statement, the local ICT industry will have an increased use of hybrid cloud services, a more dynamic IT businesses, and will gain stronger support from the government.

IPC President Rene Huergas said that businesses in Asia are fast adopting hybrid cloud services. Huergas explained that this trend was rooted from the perception that a public cloud does not suit the needs of Asian enterprises.

He added the existing hybrid cloud involves the storage of all mission critical data in the private cloud, while the non-mission critical data are stored in the public cloud.

Citing a report from Frost & Sullivan, Huergas said more than half of businesses in Asia intend to adopt hybrid cloud solutions next year. In line with this, the trend is seen to stir growth by 20 percent from 2014 to 2019, or a market value increase from $25.7 billion to $65.2 billion in 2019. 

"The Philippines ranks as the 33rd most attacked country in the world. A hybrid cloud, one that also includes a DDoS mitigation system, will best respond to the ICT demands of an Asian enterprise," said Huergas.

Meanwhile, a more innovative IT business industry will be seen in the country next year as local businesses adopt IT to automate and streamline its operations.

"IT businesses in the country are beginning to introduce great ideas, cloud-based or otherwise, to the market. This points to an industry that has the right values that will allow it to survive in a very competitive arena," said Huergas.

In addition, application development is at an all-time high now as a result of the booming personal and enterprise mobility in the country. According to the Philippine Software Industry Association (PSIA), the export sales for local software have been increasing at 31 percent over years.

The IPC also sees a better support to the ICT sector from the government next year. Currently, several efforts provided by the government indicate a focus on security and regulation in IT.

On September 17, 2015, President Benigno 'Noynoy' Aquino III signed Executive Order No. 189, Series of 2015, creating the National Cybersecurity Inter-Agency Committee. The committee is tasked to ensure the safety of the country from cyber threats, as well as enhance the public-private partnership in the field of information sharing involving cyberattacks and threats.

The signed EO complements with the Data Privacy Act of 2012 that ensures the safety of individual personal data in ICT systems of the government and the private sector.


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