The size of the strategically located Turkish IT market is forecast to increase from US$7.9bn in 2012 to US$14.4bn by 2016, making it one of the fastest growing in emerging Europe.

The Turkish IT market is projected to achieve a compound annual growth rate (CAGR) of 16% during 2012-2016. Computer penetration should pass 50% by 2016, while small- and medium-sized enterprises (SMEs) also represent a large potential market. In recent years, PC sales have received new momentum as the focus of demand shifts towards the Anatolia region and this is expected to continue as the rate of PC penetration rises.

Industry Developments In 2011, a new initiative called FATIH (The Movement To Increase Opportunities in Technology,) was launched. The project is expected to cost up to TKL2.5bn and should reach 570,000 classrooms over the next five years. The focus of the project is networked notebooks, printers, cameras for every classroom, as well as educational content

Competitive Landscape Vendors and services providers believe cloud computing is a promising way to target the huge SME segment. In 2011, leading Turkish internet service provider Koc.net launched an online CRM service for SMEs in partnership with Surado. Meanwhile, Turkcell has launched an internet-based platform for SMEs, which provides customer relationship management (CRM) and enterprise resource planning (ERP) applications, as well as basics such as email and website services.

Business software leader Oracle reported strong results for the Turkish market in H111. The company reported a number of success stories with local clients such as Turkcell, Aegon, Tekstilbank, Yapi Kredi Bankası, Petrol Ofisi, Enka and Hisar Scholl Kemerkoy.

Türkiye lags behind its EU neighbours on many indicators but not e-government, where much progress has been made. In 2005, the Information Society Department, responsible for the overall coordination of ICT projects, was established within the State Planning Organisation. To increase participation and the level of success, an advisory board with 41 members has also been established. This consulting body gathers representatives from public institutions, non-governmental organisations and universities.