At risk is the country’s outsourcing sector, a major employer that faces growing pressure from AI-related automation and spillover into other businesses, according to Bloomberry Resorts Corp., one of the country’s biggest operators of integrated gambling resorts.
“Artificial intelligence (AI) could displace positions in the Philippine job market by automating various customer service and back-office roles, among others,” Bloomberry said in its latest annual report.
“A widespread displacement could result in an adverse near- to medium-term impact on spending potentially reducing the size of the domestic casino market,” it added.
The comment was part of its routine risk disclosure, although this was the first time AI was flagged as a possible risk.
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The Philippine IT-BPM sector employs about 1.9 million Filipinos and generates over $40 billion in annual revenue.
Senator Bam Aquino said government agencies and industry groups must accelerate upskilling and reskilling programs to help workers adapt amid this wave of disruption, according to a report by BusinessMirror.
Online gambling upside?
Bloomberry also sees upside from online gambling as AI accelerates the shift toward digital services.
“Additionally, AI may accelerate the shift toward digital gaming, resulting in reduced foot traffic and revenues in integrated resorts in hubs like Entertainment City and Clark,” it added.
The company launched MegaFUNalo in 2025 to compete with online gambling apps.
Bloomberry swung to a net loss in 2025 as the absence of VIP gamers and higher costs weighed on the firm, which operates Solaire Resort casinos and hotels in Parañaque and Quezon City.
Mass gaming revenues, mainly driven by players in the Philippines, continued to grow, although this was the portion of the market most at risk from job displacement.
Rising risks from inflation
Apart from AI, geopolitical tensions—including the recent conflict in the Middle East—threaten price stability, another factor that could hit consumers.
“Persistently high inflation will likely lead to a reduction in disposable income and elevated input costs which could adversely affect the business of the company,” Bloomberry said.
Miguel R. Camus has been a reporter covering various domestic business topics since 2009.