Turkey’s ICT Sector PDF Print E-mail

The Turkish ICT sector began to develop rapidly in the second half of the 90's. Most of the companies started business when the importance and potential of ICT get the attention of private sector, public administrations and universities. Both the investments of public and private sector in field and also the increase in consumption of ICT materials and services have resulted in a growing ICT sector in Turkey.

ICT MARKET IN TURKEY

 

2001

 

2002

 

2003

 

2004

 

2005*

 

('000 USD)*

%

('000 USD)*

%

('000 USD)*

%

('000 USD)*

%

('000 USD)*

Information Technology

2,243,913

17.3

2,633,164

9.0

2,870,000

20.4

3,455,143

14.2

3,946,000

Communication Technology

6,847,330

9.8

7,516,878

14.3

8,592,000

37.5

11,815,090

16.8

13,800,000

Total

9,091,243

11.6

10,150,042

12.9

11,462,000

33.2

15,270,233

16.2

17,746,000

* Prediction

 

The Turkish ICT sector has maintained the growing trend of last years. In the last 5 years, the information technology market reached a growth rate of 15 % annually and of 75,9 % totally. Also the communication technology market reached a growth rate of 20 % annually and of more than 100 % totally.

Turkey’s ICT Potential

With nearly 72 million populations, Turkey is the second largest potential market in Europe. Being more than %65 of the population is under 40 year old level, Turkey as a dynamic base for all kind of ICT sectors’ activity.

Turkey also have started a big project called e- Transformation Turkey Project aims to use the information now being accepted as the most valuable input in all fields of economic and social life is to become a country that is a focal point in science and technology production, utilizes information and technology as an effective tool, produce more value by its information based decision making processes, successful in global competition and with high welfare level.

During the past few years, in the frame of the EU membership process Turkey has completed many legislation operation that the ICT sector need to be flourished. In that context, intellectual property, electronic signature, telecommunications service, infrastructure, service quality in telecommunication sector and some other related significant regulations have been came into force to provide to Turkish ICT Sector the best legal environment for serving their best to the clients.

Turkey has a great future in the ICT sector, in which labor skill is oriented with not only its young, dynamic and well-educated population but also its long–sight legal framework   and well conditioned infrastructural opportunities.

Software Sector
The software industry had achieved significant capabilities, benefiting from the availability of a well-educated and energetic pool of computer and software engineers who typically receive a very high-qualified education at the universities they attend, as well as the well-developed creative skills of self-taught computer enthusiasts. So, the industry has the potential to boom and significantly contribute to the national information infrastructure. The recently enacted law allowing the establishment and operation of techno-parks and technological development zones with participation and leadership of universities is likely to give a boost to the sector. The software houses with promising capabilities will now be able to complete their institutionalization and growth processes in these techno-parks and technological development zones, by benefiting from significant tax and investment incentives provided by the government.

Hardware Sector
Turkey’s hardware sector reached to $3.4 billion in 2005 by growing 13.4 percent.  The sector is mainly dominated by Personal Computer demand. In 2004, Turkey Personal Computer Park reached to 4.7 million units and annual sales in 2005 were estimated to increase 6.1 million PC with 1.8 million units. Stimulating by growth rate in GNP per capita and population, the computer usage is expected to rise annually %15 in 2002 – 2010 period and to reach the current EU level in 2010.

Annual Computer Demand

 

2006

2007

2008

2009

2010

2011

2012

2013

Units (000)

2450

2960

3400

3865

4445

5110

5880

6760

Change (%)

25.3

17.2

12.9

12

13

13

13.1

13

Source: Tesid


Telecom Sector
There have been significant developments in the Turkish telecommunication sector with regard to the physical infrastructure and supply of services, particularly after the 1980s. For the year of 2005, volume of the sector is predicted to rise to 1.9 billion USD. Demand for telecommunication services (in volume terms) is to be driven by the growth of the population, economic growth and increasing use of the Internet. With population growth expected to outpace the rise in the number of mainline phone lines, fixed-line phone penetration is set to decline in the future to about 24 per 100 population as some individuals opt for mobile telephony alone and medium and large-scale organizations use existing lines more intensively. Mobile-phone usage is running well ahead of fixed-line usage, with about 41m lines.

Telecoms and Technology Key Figures & Predictions

 

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

Telephone main lines(’000)

18391

18943

18983

18929

18834

18742

18650

18558

18467

18376

Phone sets (’000)

23914

25992

27219

28419

29199

29718

30053

30198

30344

30490

Mobile subscribers(’000)

14449

18424

23394

28900

35635

41162

45166

48419

51028

53430

Internet users (’000)

2000

4000

5000

8057

11279

13051

13681

14286

14868

15428

Telecommunications investment (US$ m)

844.8

1470.4

1261

1146.6

901.4

614.7

433.5

272.5

171.2

107.6

Source: Economist Intelligence Unit



IT Outsourcing Business in Turkey
IT Outsourcing in Turkey generates precise solutions with a wide range of services and a team of top skilled professionals specialized in multiple disciplines. Compared to other countries involved in IT Outsourcing, Turkey has a lot more to offer with her young & qualified population and her unique logistic & strategic positioning. Turkish firms in IT Outsourcing have right human and technologic and management infrastructure at a relatively low cost base environment.

 Designed to provide services at low cost, Turkish firms in IT Outsourcing assures you of the highest quality of development and product deliverables. Using the best methods and strategies for quality management, Turkish firms in IT Outsourcing assure you of total satisfaction in accomplishing your objectives. Turkish firms in IT Outsourcing give you the flexibility to define and modularize product components for development, thereby reducing costs by up to 50%.

In Turkey, firms in IT Outsourcing use technology to create powerful solutions that are focused on such critical areas as enhancing customer relations and increasing revenue opportunities. In that frame, the leading service providers of offshore IT outsourcing in Turkey, offer top class custom software development service at reasonable prices, and have the expertise and strengths in the following fields:

• Customized Software Development
• Database Tuning and Automated Maintenance
• E-Commerce Applications
• Software Analysis and Design
• Software Testing
• Software Upgrade
• Systems Programming
• Web Development 

 
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