The top three generative artificial intelligence (GenAI) tools by Filipinos are Grammarly, Microsoft PowerApps, and Microsoft 365 Copilot as GenAI traffic surged 890 percent in 2024, based on the 2025 State of GenAI Report.
This was among the highlights of the Palo Alto Networks, the world’s leading AI cybersecurity company, which recently released its State of Generative AI 2025 report. The 2025 State of GenAI report, based on traffic analysis from 7,051 global enterprise customers, aims to provide an in-depth look into how enterprises are adopting GenAI and where they remain most vulnerable.
According to the report, the top three GenAI tools for the Philippines highlight Filipinos’ strong adoption of tools for communication, productivity, and workplace efficiency.
In the Philippines, the reported noted, AI has been gaining momentum as a transformative force across both public and private sectors. The Department of Science and Technology plans to invest over PHP2.6 billion in AI projects by 2028, targeting sectors such as healthcare, mobility, environment, disaster risk reduction, and emerging technology platforms. These initiatives aim to advance AI-driven innovations across critical sectors. DOST quests to optimize the power of AI to strengthen the delivery of public service, improve crisis response capabilities, promote sustainable development, and amplify the country’s position in the global digital economy.
Overall, the report revealed a staggering 890 percent surge in Generative AI (GenAI) traffic in 2024 driven by the rapid adoption of GenAI tools in enterprise environments. While AI growth offers significant productivity benefits, the report warns that unsanctioned usage, emerging threats, and a lack of governance have rapidly expanded the attack surface for organizations, particularly across the Asia-Pacific and Japan region.
Following the release of DeepSeek-R1 in January 2025, DeepSeek-related traffic alone spiked by 1,800 percent within two months.
GenAI-related data loss prevention (DLP) incidents more than doubled, now accounting for 14 percent of all data security incidents.
Unauthorized, unsanctioned GenAI use, termed “Shadow AI”, has created blind spots for IT and security teams, making it difficult to control sensitive data flows. Many high-risk AI models remain susceptible to jailbreak attacks that produce unsafe content, including offensive material and instructions for illegal activities.
In addition, technology and manufacturing sectors alone account for 39 percent of AI coding transactions, creating additional risk for industries that depend on proprietary intellectual property.
Enterprises have been quick to embrace GenAI for use cases ranging from writing assistants and coding platforms to customer support and enterprise search. However, this widespread adoption is outpacing many organizations’ ability to implement appropriate security controls. On average, organizations are now managing 66 GenAI applications in their environments, with 10 percent classified as high-risk.
“AI adoption offers transformative opportunities across both commercial and government sectors in the region. But as this report highlights, we are also seeing an expanding attack surface, particularly with the use of high-risk GenAI applications in critical infrastructure sectors,” said Tom Scully, Director and Principal Architect for Government and Critical Industries, Asia Pacific & Japan, at Palo Alto Networks.
“Organizations must balance innovation with strong governance, adopting security architectures that account for AI’s unique risks. From shadow AI and data leakage to the more complex threats posed by agentic AI models. Proactive oversight and adaptive security controls are essential to ensuring that the benefits of AI are fully realized without compromising national security, public trust, or operational integrity.”
“As GenAI tools become more embedded in enterprise operations in the Philippines, the risk of data exposure and threats grows significantly. It is imperative to create stronger guardrails, striking the right balance between AI-driven innovation and security,” said Steven Scheurmann, Regional Vice President for ASEAN at Palo Alto Networks.
