BPO To Be Replaced By App Development?

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After BPO and nursing, application development is the “next enormous industry” to keep an eye out for in the Philippines.

The nation is certain it can best convey application improvement to the world sooner rather than later, given the accessibility of a limitless pool of data innovation (IT) abilities here.

But “there are still a lot of things to be done” to achieve the country’s full potential in this field, said Prof. Paris de L’Etraz, founder of Global Mobile Challenge and managing director of VentureLab at IE Business School Madrid.

In a meeting, he told the BusinessMirror the worldwide application advancement industry is currently developing—esteemed at $58 billion regarding income—predominantly because of high versatile innovation entrance.

With around 4.6 billion telephones worldwide to date, he said the versatile business has a larger number of clients than the Internet, especially in most creating markets where numerous individuals are purchasing and utilizing cell phones, rather than costly PCs they can’t manage.

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“Web sites were the leaders in the past, yet over time, the mobile phone will be much more powerful in usage, and the way to communicate from it is primarily through apps,” L’Etraz said, adding over 40 million apps are downloaded every day.

For the “world’s text capital,” for instance, he said even poor Filipinos, especially those in the provinces who only earn about P5,000 a month, spend one-third of their salary to load their mobile phones, either to communicate or download an app.

“So the opportunity is enormous in developing markets,” he said. “Mobile technology is exploding, and it is only getting started. Now is a perfect time to get in.” While mobile-app development has grown to a multibillion-dollar industry at present, L’Etraz said the Philippines “has a limited footprint” in this segment compared to its neighbors in Southeast Asia, like Vietnam, where a lot of this is happening.

“It has to come here. This nation may be a leader in the world in nursing and call centers, but it also has what it takes to become a leader in the world in IT development,” the professor said, referring to the country’s large English-speaking population and competitive labor cost.

“They’re behind many other countries,” he conceded. “I think the challenge is education. You have to train more people to become app developers and programmers.”

With the new leadership in place, L’Etraz is confident President Duterte’s agenda, including those aimed at elevating literacy and entrepreneurship in the country, will give a boost to address this concern.

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“I think, we’re in a very good time for the government is dedicated to helping the base of the pyramid in terms of education and technology. That’s where we need to go increasingly,” he said.

While Filipino app makers are strongly inclined to agriculture, social and trade mobile solutions, he encouraged them to think global by also developing apps for education and health since they are now highly in-demand in the world market, together with religion-based ones.

“You have 10 million Filipinos living outside of the Philippines. So there’s a lot of potential there to do things internationally,” L’Etraz said.




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