A recent survey of more than 120 Internet cafes nationwide by research firm IDC shows that almost 40 percent expect to increase total IT spending this year. Roughly 10 percent predict a decrease in IT spending compared to last year.

'To capture that potential business opportunity from the sector, the nature and preferences of the Internet caf' must be considered at all times when addressing this particular market,' said IDC Philippines research manager Manuel Ravago.

IDC cited more value-added services and the popularity of online gaming as factors that would lead to the growth of Internet cafes. More users go to Internet cafes to play online games than those who surf the Web, the report said.