12 Mar 2025 
Contents
Turkey has emerged as a key player in the global IT outsourcing market. It offers a strategic blend of skilled talent, a growing tech ecosystem, and a competitive cost structure. With an increasing number of software companies and government-backed initiatives, IT outsourcing in Turkey has become an attractive option for businesses looking to enhance their technological capabilities. This article explores the country’s growing role in IT outsourcing, highlighting the opportunities, challenges, and key factors contributing to its success in this sector.
Turkey as an Economy
Since its founding in 1923, Turkey has maintained a mixed economy, with both state and private enterprises playing a role in economic growth. The economy has shifted from being primarily agricultural to one where industry and services are the most productive and fastest-growing sectors. By the early 21st century, the services sector employed about half of the workforce, while agriculture and industry each accounted for roughly a quarter.
The economy of Turkey at a glance
 |
Gross Domestic Product | |
| Annual GDP | USD 1.12 Trillion (2023) | |
| GDP Per Capita | USD 13,106 (2023) | |
| Income Category | Upper Middle Income (2025) | |
 |
People | |
| Population | 88 Million (2025) | |
| Literacy Rate | 97% (2019) | |
| EF English Proficiency Index | Low Proficiency (2024) | |
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IT Sector | |
| IT Services Market Size | USD 3.9 Billion (2025) | |
| IT Outsourcing Market Size | USD 1.1 Billion (2025) | |
| Registered Software Companies | 10,525+ (2025) | |
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Business Environment | |
| Ease of Doing Business | Score: 77/100 | Rank: 33 (2020) | |
| Political Stability Indicator | Percentile Rank: 14 (2023) | |
| Corruption Perceptions Index | Score: 34/100 | Rank: 115/180 (2023) | |
The Software Development Landscape and IT Outsourcing in Turkey
The market for IT Outsourcing in Turkey is rapidly growing, with 2024 revenues projected at $655.50 million and a 6.94% CAGR leading to $916.70 million by 2029. Enterprise software dominates, contributing $273.10 million in 2024, reflecting its critical role in Turkey’s digital transformation.1
Turkey has emerged as a notable destination for outsourcing software development, driven by its expanding tech ecosystem and strategic investments from major corporations. In 2022, Microsoft inaugurated a research and development center in Turkey, aiming to employ hundreds of engineers, while Amazon committed $100 million to establish its first logistics center in Istanbul, creating over 1,000 jobs.2
The Turkish government has actively fostered the startup ecosystem through various programs, resulting in significant growth in sectors like gaming, e-commerce, food delivery, fintech, and deep tech. Notably, between 2019 and 2021, 213 new gaming startups were launched, contributing to a total of 445 studios by August 2021.
Despite these advancements, challenges persist. English proficiency among Turkish software engineers is relatively low, though some universities offer English-only programs. Additionally, while developer salaries in Turkey are competitive compared to Western countries, they remain lower, reflecting differences in living costs and tax structures.
For companies considering IT outsourcing to Turkey, it’s essential to understand the local business climate, legal frameworks, and cultural nuances to ensure successful collaboration. Platforms like YouTeam can facilitate this process by connecting businesses with vetted Turkish developers, streamlining the hiring process, and providing ongoing support.
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Discover CompaniesTop Software Development and IT Employers in Turkey
Turkey hosts 10,525+ software companies. Of these, 96.55% are single-owner operations, while 3.45% belong to larger brands. Istanbul, Ankara, and İzmir provinces lead with 3,420+, 880+, and 585+ companies, respectively3. Below is a list of prominent companies employing IT professionals in Turkey. We have filtered and sorted the list based on the number of employees the following companies have in Turkey.
Software Industrialists Association (YASAD)
The Software Industrialists Association (YASAD), founded in 1992, represents over 400 Turkish software companies. Headquartered in Istanbul with members across Turkey, it promotes the domestic software industry, supports software exports, and fosters sectoral employment advocating for the growth of IT Outsourcing in Turkey. YASAD collaborates with stakeholders, government agencies, and other organizations to set national IT goals, enhance domestic software usage, and address industry challenges through clusters, campaigns, and events.
Reputed Institutions in Turkey Known to be the Top Sources of IT Graduates
Here is a list of the top universities in Turkey, ranked based on their research performance in Computer Science by EduRank. The rankings are derived from a dataset of 4.6 million citations across 350,000+ academic papers produced by 140 Turkish universities. Publication ratings were calculated, adjusted for release dates, and incorporated into the final scores. The rankings do not differentiate between undergraduate and graduate programs, nor do they consider current majors offered. Degree details are available on each university’s page, but it’s recommended to verify this information on the university’s official website.
We have sorted the list in terms of the number of alumni in IT and engineering roles. Please note that the alumni in engineering roles may include other engineering domains other than computer science or software engineering since we have taken the filtered count from their LinkedIn pages.
Conclusion
Turkey’s unique geographic positioning truly compliments its robust economic transformation and emerging IT landscape. There are challenges like English proficiency and economic disparities. Nonetheless, the country offers a growing tech ecosystem, government-backed initiatives, and skilled talent for IT Outsourcing in Turkey. Strategic collaboration and understanding of local dynamics are essential for maximizing Turkey’s potential as a hub for software development and outsourcing.
If you’re looking to outsource in Turkey and tap into its thriving IT sector, let us help you connect with the best companies through Enosis Outsourcing. Contact us today to learn more and explore the opportunities Turkey has to offer!
References
[1] Software-Turkey ↩
