According to Arizton research, the Turkey data center colocation market was valued at USD 161 million in 2024 and is projected to reach USD 476 million by 2030, growing at a CAGR of 19.8%. Investment in the sector is being fueled by the adoption of AI, machine learning, big data, and IoT technologies, expansion of cloud computing services, government support, rapid digitalization, development of submarine cables, deployment of 5G connectivity, advancement of smart city projects, and strong sustainability initiatives by data center companies, positioning Turkey as a key regional hub for data center growth.
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Report Summary:
MARKET SIZE – COLOCATION REVENUE: USD 476 Million (2030)
CAGR – COLOCATION REVENUE: 19.80% (2024-2030)
MARKET SIZE – UTILIZED WHITE FLOOR AREA: 1.66 Million sq. feet (2030)
MARKET SIZE – UTILIZED RACKS: 48.31 thousand units (2030)
MARKET SIZE – UTILIZED IT POWER CAPACITY: 278 MW (2030)
BASE YEAR: 2024
FORECAST YEAR: 2025-2030
Strategy into Impact: NAIS 2021–2025 Ignites Turkey’s AI Expansion
Artificial Intelligence is driving data center investments in Turkey, as enterprises increasingly adopt AI-powered solutions to enhance efficiency and innovation. Supported by Turkey’s National AI Strategy (NAIS 2021–2025) and the updated Action Plan 2024–2025, AI integration is accelerating digital transformation, boosting productivity, and encouraging R&D. Collaborations like Turkish Airlines’ use of Red Hat OpenShift AI highlight AI’s role in improving pricing, fraud detection, and fuel management. This growing AI adoption is fueling demand for advanced data center infrastructure, including high-density racks and cutting-edge cooling technologies such as liquid immersion and direct-to-chip cooling systems in the Turkish data center market.
Turkey Colocation Appeal: Investment Opportunities Amid Economic and Digital Expansion
- Turkey GDP growth slowed to 3.2% in 2024, down from 5.1% in 2023, while inflation rose to 58.5%, reflecting economic adjustments.
- The country operates five submarine cables, including KAFOS, MedNautilus, and Turcyos, enhancing global digital connectivity with Bulgaria, Romania, Israel, and Greece.
- Data protection is strengthened under Turkey’s Law on the Protection of Personal Data (KVKK, Law No. 6698), ensuring privacy and regulatory compliance.
- UNDP and UMT launched digital training centers in 45 provinces, offering 200 courses to train around 4,000 young people over four years.
Hydropower Leads the Charge as Turkey Hits 45% Renewable Electricity in 2024
Data center operators in Turkey are increasingly turning to renewable energy topower their operations and support the country’s sustainability goals. In 2024, nearly 45% of Turkey’s electricity was generated from renewable sources, with hydropower leading the way. Telehouse, for example, has committed to running its entire data center operations on 100% renewable energy. This shift aligns with Turkey’s broader objectives to reduce greenhouse gas emissions by 41% by 2030 and achieve carbon neutrality by 2053. Alongside renewable energy procurement, data centers are adopting eco-friendly construction materials and replacing diesel generators with Hydrotreated Vegetable Oil-powered alternatives, reinforcing Turkey’s position as a growing hub for sustainable data infrastructure.
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Vendor Landscape
Existing Colocation Operators
- Turkcell
- Equinix
- Turk Telekom
- Sadece Hosting
- Radore
- NGN
- KKB Kredi Kayıt Bürosu
- Vodafone
- Telehouse
- Comnet Türkiye
- Sparkle
- Datacasa Veri Merkezi
New Operators
- DAMAC Digital
- Khazna Data Centers
- EdgeConneX
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What Key Findings Will Our Research Analysis Reveal?
- Who are the new entrants in the Turkish data center industry?
- What factors are driving the Turkey data center colocation market?
- How much MW of IT power capacity is likely to be utilized in Turkey by 2030?
- What is the count of existing and upcoming colocation data center facilities in Turkey?
What’s Included in the Turkey Data Center Colocation Market Report?
The Turkey Data Center Colocation Market report provides a comprehensive view of the industry, covering market size, IT power capacity, white floor area, and occupancy trends. It analyzes current and future colocation demand, cloud operations, sustainability initiatives, and submarine cable infrastructure, along with existing (32) and upcoming (4) facilities across 7+ cities. The report also highlights retail and wholesale revenue, pricing trends, market opportunities, and the competitive landscape, offering actionable insights for investors and industry stakeholders.
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