Outsourcing Companies in the Philippines: An Honest 2026 Guide

    Matt Watson
    By Matt Watson · CEO of Full Scale, 4x Founder, Author of Product Driven
    Updated 12 min read
    outsourcing-companies-in-the-philippines hero, Full Scale
    In this article

    Search “outsourcing companies in the Philippines” and you get the same article ten times over. It’s a ranked list of giant call centers, usually published by a company that wants your business, with the biggest names at the top and almost no opinion about which one is right for you. For the software and IT side specifically, see our guide to IT companies in the Philippines.

    I run one of these companies, so read this knowing that. Since 2018 I have built Full Scale into a team of 350-plus engineers in the Philippines, working with more than 80 active clients. Before that I co-founded VinSolutions, bootstrapped it to $35 million in revenue, sold it, and built and sold Stackify. I have hired developers outside the US for almost twenty years. It also helps to know which client companies outsource to the Philippines, not just which vendors operate there.

    Here is the part those lists leave out.

    The famous outsourcing companies in the Philippines are mostly call centers, and a call center is not a software team. Many of these firms market offshore leased staff in the Philippines; the ones worth hiring build you a team, not a row of rented seats.

    That distinction decides everything. If you want customer support at scale, the big names below are excellent. If you’re a tech company looking to outsource software development, you need a different shortlist and a different set of questions. This guide gives you both, including an honest look at where Full Scale fits and where it doesn’t. If you want a sense of what good looks like, these examples of companies that outsourced well are a useful starting point.

    Why the Philippines became the outsourcing capital of the world

    The short version: the country is very good at this, and the numbers back it up. The Philippine information technology and business process management (IT-BPM) sector pulled in about $40 billion in export revenue in 2025 and employs roughly 1.8 million people. That’s around 8.5% of the country’s entire economy, and the industry trade group projects it will hit $42 billion in 2026 and keep climbing. If you want the longer history, I traced how the BPO industry in the Philippines grew from a single call center in 1992 into that $40 billion sector.

    A few things made this happen. English is everywhere, and the Philippines is the third-largest English-speaking country in the world. The culture leans toward service and follows American business norms closely, which matters when your team is talking to your US customers. And the cost of living is low enough that a strong local salary still lands at a fraction of US rates.

    That last point is the one buyers love and the one that gets them in trouble, which I’ll come back to.

    Why the Philippines leads: the IT-BPM sector hit about $40 billion in export revenue in 2025, around 8.5% of the country's entire economy.

    The big outsourcing companies in the Philippines (the names every list ranks)

    These are the giants. They employ tens of thousands of Filipinos each, they’re battle-tested, and most of them focus on customer experience, back-office work, and large-enterprise information technology (IT) services. Each company link below is here for reference, not as an endorsement.

    Concentrix is the largest, with somewhere around 80,000 to 90,000 employees in the country and a claim to being the single biggest business process outsourcing (BPO) employer in the Philippines. It absorbed Convergys back in 2018, which is why an older name you might remember is now folded inside it. Concentrix is built around customer engagement and the technology behind it.

    Accenture sits near the top with roughly 72,000 people in the Philippines, but it’s a different animal from the pure call centers. Accenture does consulting, IT services, cloud work, and digital transformation for some of the world’s biggest brands. If you’re an enterprise with a big budget and a complex program, this is the category you’re looking at.

    Teleperformance has been in the country since 1996 and runs tens of thousands of seats across more than two dozen sites. It’s one of the longest-running customer-experience providers in the market and serves telecom, banking, and e-commerce clients worldwide.

    Foundever is the company most older articles still call Sykes. Sykes opened the first multinational call center in the Philippines in 1997, got acquired by Sitel Group in 2021, and the combined company rebranded to Foundever in 2023. It employs more than 40,000 people locally. If a list you’re reading still says “Sykes,” that list is out of date.

    Sutherland runs a mature operation in the Philippines with around 30,000 employees, known for structured processes and strong training programs across a range of industries.

    IBM runs a large delivery operation focused on IT services, software, and the infrastructure side of technology rather than call-center work.

    Every one of these is a serious company. But notice what almost all of them have in common.

    Call centers are not software development teams

    Most of the names above are customer-experience and back-office operations. They answer phones, run support queues, process transactions, and handle big enterprise IT contracts. They are world-class at that.

    That is not the same thing as building your product.

    When a tech company says “we want to outsource software development to the Philippines,” and then hires off a top-BPO list, it often ends up with the wrong kind of provider. Software development is a different discipline. You’re not staffing a support queue, you’re adding engineers who join your standups, read your codebase, push code, and own features alongside your own team. The shortlist for that work looks nothing like the call-center rankings, and it’s mostly made up of companies the big lists never mention.

    So before you pick anyone, get clear on what you’re actually outsourcing. If it’s customer support, the giants above are your league. If it’s engineering, keep reading, because the way you choose changes completely. We rank the top offshore software development companies separately for exactly this reason, and our buyer’s guide to software development outsourcing companies walks through how to vet one.

    Call centers aren't software teams: a call center or BPO is built for volume and scripts, staffed by the seat, where high churn is normal and they're not software engineers, great at support but not code; a software dev partner is built for engineering, with vetted senior developers, retention as the point, and owns real product work, which is what you actually need.

    The cheapshoring trap

    Here’s where the cost advantage turns on people. A skilled developer in the Philippines might cost you 50 to 80% less than the US equivalent. That’s real, and it’s a perfectly good reason to look offshore. The savings come from the cost of living, not from cheaper skill. My brother-in-law in the Philippines works at Jollibee, the country’s biggest fast-food chain, for about $1.25 an hour. My sister-in-law makes $5 an hour as a virtual assistant, four times his pay. What looks low from the US is a strong living locally. What those wages mean for the people earning them is a question worth sitting with, and I took on the ethics question around offshoring in its own post.

    The trap is making cost the only reason you go. I call that cheapshoring, and it’s the most common way a company talks itself into a bad partner.

    Building an offshore team?

    Full Scale staffs senior engineers in the Philippines who work as part of your team — not a vendor.

    When cheap is your only filter, you buy the cheapest thing, which is usually a freelancer who vanishes mid-sprint or a project shop that bills for ten people while three do the work.

    Then you join the long line of founders who tried offshore once, got burned, and swore it off. The problem was never the Philippines. It was that price was doing all the deciding.

    The cheapshoring trap: the Philippines has both cheap shops and serious engineering partners. Pick on rate alone and you get the cheap shop, with high churn, weak vetting, and a project you end up rebuilding. The cheapest bid is rarely the cheapest outcome.

    What actually separates a good outsourcing partner

    Once you’re past price, here’s the scorecard I’d run. I’ve been on both sides of these conversations for two decades, and these are the things that decide whether an engagement works.

    What to checkWhat good looks likeThe red flag
    Who you talk toYou interview and work with the actual engineersEverything routes through one project manager
    The modelA dedicated team that stays on your productA scoped project handed off and forgotten
    RetentionLow turnover, the same people for the long haulConstant churn, “we’ll assign someone new”
    RecruitingThey recruit strong passive candidates for youThey post a job and forward you whoever applies
    Security and IPA real contract with an accountable companyA freelancer in an unknown jurisdiction
    ProofCase studies and references who answer the phoneLogos with no stories behind them

    A few of those are worth more than a table cell.

    Talk to the engineers, not a handler. The most common anti-pattern at offshore firms is the hidden developer. You only ever speak to one technical project manager, and every actual engineer stays behind that person, sometimes because of an English gap and sometimes because of a cultural rule about who gets to talk to the client. You never know who’s really doing the work. A good partner puts you in the room with the people writing your code.

    Weigh retention heavily, because turnover quietly wrecks offshore engagements. Call-center attrition in the Philippines is the highest of any industry in the country, often running 30 to 40%. That’s fine for a support queue where one agent is interchangeable with the next. It’s a disaster for a software team, where the person who leaves takes everything they learned about your product with them. Full Scale holds 93%-plus developer retention, and the reason is boring but real: we recruit well, we treat people like our own employees, and we invest in keeping them. Some of that talent comes in through our university partnership program in Cebu.

    Recruiting is the capability most buyers underrate. The best developers already have jobs and aren’t answering your post. After 25 years of hiring, I can tell you the people who flood a job listing have often applied to a hundred roles in six months and landed none. The strong ones have to be recruited away from where they already work. We run several full-time in-house recruiters who do exactly that, plus referrals from our own team. A partner that just forwards you whoever applied isn’t doing the hard part.

    Security and IP come down to who’s on the other side of the contract. Full Scale’s client contracts are directly with a US company. If anything ever goes wrong, a data issue, an intellectual property (IP) dispute, a breach, you’re dealing with a US-based business under US law, not trying to track down a freelancer somewhere in the world and figure out which country’s courts even apply. That alone de-risks the whole thing.

    If you want the deeper background on the model itself, I’ve written about what staff augmentation is and how it differs from traditional outsourcing.

    Where Full Scale fits, and where it doesn’t

    I’ll be straight about this. Full Scale is not a call center, and we don’t compete with Concentrix or Teleperformance. We do software development staff augmentation, which means we recruit, employ, and manage senior engineers in the Philippines who join your team and work under your direction. You run the roadmap. We handle hiring, payroll, retention, and the day-to-day support that keeps good people from leaving.

    That model works best for one specific situation: you have ongoing product work and you want a real team that stays, not a one-time build. AMC Theatres is the clearest example. Their chief information officer, Derrick Leggett, describes the arrangement simply: “It’s a fully integrated team. It’s just some of the people happen to be living in the Philippines.” That’s the whole idea. The developers we place show up in your standups and your code reviews like any other engineer on staff.

    Where we’re the wrong fit: if you need a call center, go to the giants above. If you have a small, well-defined, hand-it-off project, a fixed-price project shop will serve you better than a dedicated team. And if cost is genuinely the only thing you care about, you’ll find someone cheaper than us, and you’ll probably regret it. Our model is built for companies that want the work done right and the team to stick around. You can see how the economics shake out in our breakdown of offshore development rates by country.

    For what it’s worth on the trust side, Full Scale has made the Inc. 5000 list of fastest-growing private companies four years running, and we’re Great Place to Work Certified in the Philippines, where 95% of our employees say it’s a great place to work versus 65% at a typical local company. Happy engineers are the ones who stay.

    How to choose an outsourcing company in the Philippines

    Put it all together and the process is straightforward:

    1. Name what you’re outsourcing. Customer support points you to the big customer-experience BPOs. Software development points you to a dedicated-team partner. These are different shortlists, so don’t mix them up.
    2. Decide on the engagement model. An ongoing product needs a team that stays. A finite, well-scoped project can go to a fixed-price shop. Match the model to the work.
    3. Vet for the things that actually break engagements. Talk to the real engineers, check retention, understand how they recruit, and read the contract for IP and security. Run the scorecard above.
    4. Put price last. Look at cost only after a company has cleared everything else. The cheapest option that fails is the most expensive thing you’ll ever buy.

    Do that, and the Philippines is one of the best places in the world to build a team. Skip it, pick on price, and you’ll prove the horror stories right.

    How to choose a Philippine outsourcing partner: software, not a call center, so engineers and not seat-fillers; senior, vetted talent with under 3% acceptance; real retention, since 93%+ keeps your knowledge; and direct access to the team with no PM relay.

    Frequently asked questions

    What are the top outsourcing companies in the Philippines?

    The largest are customer-experience and IT giants like Concentrix, Accenture, Teleperformance, Foundever (formerly Sykes), Sutherland, and IBM. They’re excellent for support and back-office work at scale. For software development, the right shortlist is different and made up of dedicated-team providers that focus on engineering rather than call-center services.

    Is the Philippines good for software development outsourcing?

    Yes, very. The country has a deep pool of skilled, English-fluent developers, a culture aligned with US business norms, and costs 50 to 80% below US rates. The catch is that most of the famous outsourcing names are call centers, so a software buyer needs to look at dedicated software development partners rather than the big BPO rankings.

    How much does it cost to outsource software development to the Philippines?

    A skilled Filipino developer typically earns $15 to $30 an hour locally, and a partner like Full Scale bills clients roughly $30 to $40 an hour for a senior engineer. That’s 50 to 80% less than a comparable US hire, where senior engineers run well over $150,000 a year in base salary alone. The savings come from the cost of living, not from cheaper skill.

    What’s the difference between a BPO and a software development company?

    A business process outsourcing (BPO) company runs business functions for you at scale, most often customer support, back-office processing, and large enterprise IT. A software development company builds your product, embedding engineers who join your team and own features. The work, the people, and the way you manage them are all different.

    Are outsourcing companies in the Philippines reliable?

    The established ones are. The Philippine IT-BPM industry generates around $40 billion a year and employs nearly 2 million people, so the infrastructure and talent are proven. Reliability comes down to the specific partner you pick: their retention, how they recruit, and whether you have a real contract with an accountable company.

    Build a team that stays: the Philippines is the outsourcing capital with a $40B IT-BPM sector; a call center isn't a software team, so know which you're hiring; skilled Philippine developers cost 50-80% less than the US equivalent; choose for engineering depth, vetting, and retention, not the cheapest rate.

    Build a team that stays

    If you’re weighing outsourcing companies in the Philippines for software development, the choice isn’t which call center is biggest. It’s whether you get a dedicated team that learns your product and sticks around. That’s the part the lists never measure, and it’s the part that decides whether this works.

    Book a call with our Philippines team and we’ll walk you through how it works, what it costs, and whether we’re the right fit for what you’re building.

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