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The Philippines As a Hub For Indie Developers and Affordable Outsourcers

The Philippines' gaming market has been rapidly expanding, driven by a young, digitally connected population. The market is expected to grow at a CAGR of 7.34% in 2023-2028, resulting in a projected market volume of 2.77 billion USD by 2028.

Small And Free-to-Play

The Philippine gaming market is predominantly indie-oriented, typically featuring small development teams. A majority of gamers choose to play mobile, which can be attributed to the widespread accessibility of smartphones. PCs are less common due to low purchasing power, leading to the emergence of a culture of computer clubs. These clubs are not just gaming hubs but also social spaces.

Danielle Ray, Narrative Designer at Metronomik Sdn Bhd

The Philippines game scene is mostly indie. Usually, companies have 3-4 employees there. Developers tend to make apps for other industries such as finance or telco.

The free-to-play monetization model is the most popular, with monetization primarily driven through in-game ads and in-app purchases. This strategy suits the financial reach of the local gaming community, allowing a broader audience to engage with the games. The gaming culture in the Philippines is a fusion of local and Western elements, where English and Spanish are commonly used.

Outsourcing For a Living, Developing Own Games For Fun

The outsourcing market in the Philippines is highly developed. The appeal of outsourcing is cost-effectiveness, with labor expenses being considerably lower than in many other regions. Also, the quality of services provided in the Philippines is high, with a particular emphasis on strong backend development, engineering, and art skills. The ease of obtaining a visa and the straightforward process of business registration enhance the attractiveness of the Philippines as an outsourcing destination.

Franz 'Gala' Vilela, Lead Developer at Sweet Banana

Many studios do outsourcing in the Philippines because that's the main selling point and labor is very cheap. Franz is sure that game development is business aside, they are willing to do it in their free time. And of course, it’s a big risk.

What does the funding landscape in the Philippines look like? In what ways does the Philippines stand out from other countries within the SEA region? Download our detailed report How to Conquer the Southeast Asian Game Market? Part 2: Focus On The Countries:

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