2012-02-16 02:24:08 - New Computer Technology research report from Business Monitor International is now available from Fast Market Research

Market Overview 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. A cultural and geographical position as a hub between Europe and the Middle East only accentuates the significance of the country's large market size for IT vendors.

Turkish demand for IT is forecast to expand by double digits in 2011, consolidating the recovery in 2010 from the impact of the global economic slowdown. Turkish IT spending is expected to strengthen throughout 2011, buoyed by a recovery in industrial production and domestic lending growth. The IT market will grow alongside other sectors as the government implements its programme of

privatisation and reform.


Full Report Details at
- www.fastmr.com/prod/329573_turkey_information_technology_report_ ..


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

Healthcare should be a significant area of opportunity for IT vendors over the next few years as organisations seek efficiency improvements and better quality services. Government departments have continued to launch tenders, including a data warehouse for the Social Security Institute and an upgrade of the statistical system for the Ministry of Labour and Social Security.

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 Bankasi, Petrol Ofisi, Enka and Hisar Scholl Kemerkoy.

Hardware

Turkey's computer hardware sales are projected at US$5.7bn in 2012 and are forecast to reach around US$10.6bn in 2016. The market is forecast to remain in positive growth territory in 2012, with revenue forecast to grow at a 17% CAGR in 2012-2016. The notebook segment was the main growth driver in 2010, while desktops sales declined as companies remained cautious about IT spending.

The market fundamentals remain promising, with computer penetration low at about 10%. Until a few years ago, demand for computers was mainly confined to large cities such as Istanbul, Izmir and Ankara. Now, the fastest growth in sales is coming from Anatolia. Demand for laptops is expected to be the strongest growth area over our forecast period but desktops remain popular with businesses.

Software

The software market in Turkey is projected at US$933mn in 2012 and is forecast to reach US$1.5bn in 2016, with a CAGR of 13%. However, much will depend on the success in bringing down illegal software use, which at 65% is nearly twice the global average. The global economic crisis may have provided a boost to hosted software and outsourcing solutions, which have grown in popularity.

There is considerable potential for software market growth but lack of access to credit limits Turkish SMEs' willingness to spend on applications and solutions that often must be financed from operational budgets.

IT Services

Turkish spending on all categories of IT services is projected at US$1.3bn in 2012. Banks and telcos were among organisations spending on new IT platforms in H111. An increased business focus on internal savings as a result of the economic situation could ultimately drive higher spending on external IT suppliers such as systems integrators and managed services providers.

The Turkish IT services market is expected to grow at a 14% CAGR over 2012-2016. While support remains the largest services category, other groups, including outsourcing on non-core functions and training services, are growing particularly fast. A pick-up in large projects in key verticals such as telecoms, manufacturing and finance should provide new corporate sector opportunities in outsourcing, systems integration and application customisation.

E-Readiness

Data indicate that Turkey's e-commerce transactions level doubled in 2007 to 54.1mn transactions, up from 21.7mn the previous year.

Although other operators in Turkey are providing ADSL services, they are reliant on the incumbent Turk Telekom's wholesale ADSL product. Wholesale connections are included in its reported total.

The Telecommunications Authority is keen to foster the growth of alternative broadband operators by allowing them to co-locate on Turk Telekom's network, in addition to reselling Turk Telekom's wholesale ADSL product. Competing against Turk Telekom remains difficult, given that it owns the bulk of Turkey's fixed-line network infrastructure and is determined to compete aggressively on price.

About Business Monitor International

Business Monitor International (BMI) offers a comprehensive range of products and services designed to help senior executives, analysts and researchers assess and better manage operating risks, and exploit business opportunities, across 175 markets. BMI offers three main areas of expertise: Country Risk BMI's country risk and macroeconomic forecast portfolio includes weekly financial market reports, monthly regional Monitors, and in-depth quarterly Business Forecast Reports. Industry Analysis BMI covers a total of 17 industry verticals through a portfolio of services, including in-depth quarterly Country Forecast Reports. View more research from Business Monitor International at www.fastmr.com/catalog/publishers.aspx?pubid=1010

About Fast Market Research

Fast Market Research is an online aggregator and distributor of market research and business information. We represent the world's top research publishers and analysts and provide quick and easy access to the best competitive intelligence available.

For more information about these or related research reports, please visit our website at www.fastmr.com or call us at 1.800.844.8156.