Telecommunications in Turkey

See also: Broadband Internet access worldwide#Turkey

The telecommunications liberalisation process started in 2004 after the creation of the Telecommunication Authority, and is still ongoing. Private sector companies operate in mobile telephony, long distance telephony and Internet access. There were 16.5 million fixed phone lines, 62.8 million mobile phone subscribers, and 6.2 million broadband subscribers by December 2009.

Telecommunications liberalisation is progressing, but at a slow pace. The Telecommunication Authority (now renamed Bilgi İletişim ve Teknolojileri Kurumu or BTK) while technically an independent organization, is still controlled by the Ministry of Transport and Communications.

While progress is being made, for example local as well as long distance calls are now open to competition, the incumbent has so far managed in many areas to restrict access and protect its monopoly; for example wholesale line rental is still not available to alternative operators, making it necessary for subscribers to pay two bills (one for line rental to the incumbent, and one to the chosen operator). The incumbent has also so far managed to prevent any operator from connecting its own fiber optic cable at local loop unbundling exchanges, though it is technically required to allow this. Recently, the incumbent announced it is acquiring Invitel, one of only two other players in the inter-city capacity business, raising questions as to how the Turkish Competition Board will treat the acquisition.

The lack of progress by the BTK in ensuring a competitive playing field can be evidenced by the market share the incumbent still holds. In broadband, the incumbent's provider still occupies roughly 95% share of the market. The Governmental Audit Office of the President (T.C. Cumhurbaşkanlığı Devlet Denetleme Kurulu) issued a highly critical report of the BTK in February 2010, listing 115 findings to be addressed. For example finding #20 points out that the BTK has completed only 50% to 78% of its stated work plans in each of the years from 2005-2008. Alternative operators are rapidly growing, yet much progress needs to be made by the BTK to improve the competitive landscape.