Philippines iGaming firms explore AI but face hurdles: Expert
The iGaming industry in the Philippines is gradually adopting artificial intelligence (AI), with leading firms applying the technology for compliance, fraud prevention, and customer service, according to an industry expert. However, a new study reveals that adoption remains concentrated in large firms and urban areas in the Philippines. At the same time, barriers such as limited skills, weak infrastructure, and inadequate funding continue to hinder broader integration.
Speaking exclusively with SiGMA News, John Calderon, Executive Managing Partner at Consulcy Advisory, said that AI adoption in the country is gaining ground. “In the Philippines, the iGaming industry is making steady progress in integrating AI technologies. Leading companies have adopted AI-powered solutions for functions like KYC verification and fraud prevention, often combining automated systems with human oversight to enhance effectiveness,” he said.
AI readiness ranking
According to a study by the Philippine Institute for Development Studies (PIDS), entitled “Readiness for AI Adoption of Philippine Business and Industry: The Government’s Role in Fostering Innovation- and AI-Driven Industrial Development,” business readiness is low, with the country scoring 25.4 out of 100. While 90.8 percent of establishments have computers and 81 percent are connected to the internet, only 21.7 percent report having a website, and just 31.2 percent are engaged in e-commerce. The study also cited the 2023 AI Readiness Index, which ranked the Philippines last among 12 Asia-Pacific countries, with an overall score of 35.7 out of 100.
“These top gaming firms began implementing AI-based KYC processes early on to improve security and simplify operations. While AI is also used for personalised marketing, full automation in this area is still under development across the industry,” Calderon noted.
Adoption rates and distribution
The government study found that 14.9 percent of Filipino firms use AI and machine learning technologies, making AI the fourth most widely adopted technology of the Fourth Industrial Revolution (FIRe), behind the Internet of Things (IoT), 5G networks, and automation. The overall adoption rate across industries stood at 3.02 percent in 2021. Adoption is heavily concentrated in the ICT and BPO sectors, with large firms leading the way.
“Although widespread AI adoption has not yet been achieved [in the iGaming sector], increasing interest in the technology underscores its potential to improve efficiency. These early adopters are positioning themselves to gain a competitive advantage as the industry continues to evolve,” Calderon added.
Barriers to AI adoption
According to the PIDS study, key barriers identified include limited digital infrastructure, low awareness of AI technologies, skills shortages, and insufficient funding. Only one in five Philippine firms is aware of AI and other FIRe technologies, while education and training in engineering and ICT remain weak. The lack of supercomputers and low venture capital availability also restricts AI development.
“It is positive to note that PAGCOR [Philippine Amusement and Gaming Corporation] is reportedly utilising AI to monitor illegal gambling activities. Nonetheless, several challenges remain in deploying AI effectively. Primarily, privacy concerns pose a significant issue, and establishing proper regulations is necessary to ensure responsible data handling and the protection of players’ rights,” Calderon stressed.
Government policy and strategy
The Philippines’ Department of Trade and Industry (DTI) earlier launched a National AI Strategy Roadmap to position the Philippines as a regional hub for AI research and development. According to the DTI, AI could increase the country’s GDP by 12 percent, or about $92 billion, by 2030.
Even with these efforts, challenges in skills development remain. “Additionally, I observed that there is still a skills gap among [the] workforce and investing in training and developing expertise in AI is needed to fully realize its benefits and ensure smooth integration within the sector,” Calderon told SiGMA News.
Industry adoption examples
Across industries in the Philippines, examples of AI adoption are emerging. The study cited that a local bank, UnionBank, has deployed chatbots, fraud detection systems, and AI-powered credit scoring. At the same time, e-commerce platform Lazada uses AI-driven recommendations to shape consumer behaviour. Utilities, manufacturers, and telecoms firms have also introduced AI systems to reduce costs and enhance customer service.
For the iGaming sector, Calderon emphasised: “These early adopters are positioning themselves to gain a competitive advantage as the industry continues to evolve.”
From the Colosseum’s ancient roar to the stillness of Vatican halls, Rome stirs once more. SiGMA Central Europe arrives 03–06 November 2025, gathering 30,000 industry leaders to shape a future written not in sand but in stone. At this year’s mother of all conferences, stand where Caesars stood and shape the iGaming empire.
