IT Services - Turkey

Turkey

The IT Services market in Turkey is expected to witness significant growth, with projected revenue reaching US$3.68bn in 2024.
Other IT Services is the dominant segment, expected to contribute a substantial market volume of US$1.37bn in the same year.
This indicates the strong demand for outsourced IT services in Turkey.
Furthermore, the market is anticipated to exhibit a steady annual growth rate of 5.28% from 2024 to 2029 (CAGR 2024-2029), resulting in a market volume of US$4.76bn by 2029.
This growth can be attributed to the increasing reliance on IT services and the continuous technological advancements in Turkey.
In terms of spending, the average Spend per Employee in the IT Services market is projected to reach US$102.10 in 2024.
This demonstrates the value placed on IT services and the investment made by companies in Turkey to enhance their technological capabilities.
When comparing global markets, it is noteworthy that United States is expected to generate the highest revenue in the IT Services market sector, reaching US$522.00bn in 2024.
This highlights the significant market share held by United States and its position as a global leader in the IT industry.
Overall, the IT Services market in Turkey is poised for growth, driven by the increasing demand for IT outsourcing and the continuous investment in technology.
The demand for IT services in Turkey has been steadily increasing, driven by the country's growing digital economy.

Key regions: United States, China, India, Japan, Germany

Definition:
The IT Services market encompasses a wide range of services used by organizations to create, manage, and deliver information, and it includes services that provide assistance with various other business functions. The primary goal of IT services is to ensure that information technology infrastructure, applications, and systems are effectively implemented, operated, and optimized to support an organization's business objectives and requirements. The specific range of services offered may vary depending on the service provider and the client's requirements.

Structure:

IT Services contains four distinct markets that are based on different services:

IT Consulting & Implementation covers advisory services that help businesses evaluate their technology strategies and align them with their business strategies or internal processes.
Business Process Outsourcing (BPO) refers to the transfer of entire business processes or individual activities from a company to a third party and is often IT based. BPO covers a wide variety of business processes, usually either in the back office (e.g., human resources) or in the front office (e.g., customer service in call centers).
IT Outsourcing refers to the external contracting of all IT-related services instead of relying on company-owned resources. In an IT context, these activities include IT administration, IT application, and web hosting services.
The Other IT Services market covers revenues for areas that are not specifically mentioned in the other markets, such as system integration, software installation and support, and IT education and training.

Additional Information:

The IT Services market comprises revenues, revenue change, average spend per employee, and a list of the key players in the market and their consolidated revenues. Market values represent revenues that are generated by primary vendors either directly or through distribution channels at the manufacturer price level (excluding VAT). Reported market revenues include spending by enterprises (B2B) and governments (B2G). Detailed definitions of each market can be found on the respective page where the market data is displayed. Key players in the market include IBM, Cognizant, Hewlett Packard Enterprise, and TCS.

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Market

Region

Region comparison

Currency

Analyst Opinion

Turkey, located at the crossroads of Europe and Asia, has a rapidly growing IT services market.

Customer preferences: The Turkish IT services market is seeing an increased demand for cloud-based services, cybersecurity, and artificial intelligence solutions. As the country continues to develop its digital infrastructure, businesses are looking to adopt more advanced technologies to improve their operations and stay competitive.

Trends in the market: One of the key trends in the Turkish IT services market is the growth of the outsourcing industry. Many businesses are turning to outsourcing to reduce costs and increase efficiency. This has led to the emergence of a number of IT services providers in the country. Additionally, the Turkish government has been investing in the development of technology parks and innovation centers to support the growth of the IT industry.Another trend in the market is the increasing adoption of mobile technologies. With a high mobile penetration rate, Turkish businesses are looking to leverage mobile solutions to reach customers and improve their operations. This has led to the development of mobile applications and other mobile-based services.

Local special circumstances: One of the unique aspects of the Turkish IT services market is the country's strategic location. Turkey's proximity to Europe and Asia makes it an attractive location for businesses looking to expand their operations in these regions. Additionally, the country's young and tech-savvy population is driving demand for advanced technologies and digital services.

Underlying macroeconomic factors: Turkey's strong economic growth in recent years has been a key driver of the IT services market. The country's expanding middle class and growing business sector are demanding more advanced technologies to support their operations. Additionally, the government's focus on developing the country's digital infrastructure is creating new opportunities for IT services providers.In conclusion, the Turkish IT services market is growing rapidly, driven by customer preferences for advanced technologies, outsourcing, and mobile solutions. The country's strategic location and strong economic growth are creating new opportunities for businesses in the IT services industry.

Methodology

Data coverage:

The data encompasses B2G, B2B, and B2C enterprises. Figures are based on enterprises' technology spending on products, consulting, and outsourcing services.

Modeling approach / Market size:

Market sizes are determined through a combined top-down and bottom-up approach, building on a specific rationale for each market segment. As a basis for evaluating markets, we use annual financial reports of key players in the industry, Statista's primary research and surveys, and IT associations. In addition, we use relevant key market indicators and data from country-specific associations, such as GDP, internet users, and telecommunication. This data helps us estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the relevant market. For example, the exponential trend smoothing method is used based on the market data characteristics. The main drivers are the GDP and its sector composition, internet penetration, the level of digitization, and the attitude toward IT security.

Additional notes:

The data is modeled using current exchange rates. The market is updated twice a year in case market dynamics change. The impact of the COVID-19 pandemic and the Russia-Ukraine war is considered at a country-specific level.