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Telecommunications policy in Turkey: Dismantling barriers to growth

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  • Burnham, James B.

Abstract

Modern telecommunications technology is now widely seen as a critical driver in economic development. However, the issues involved in the rapid deployment of this technology are complex and frequently highly controversial. While some issues are technical, the most difficult ones involve changing an institutional framework originally designed for different times and different technologies. The process of changing this framework necessarily involves disruptive change for existing infrastructure and service providers as well as substantial benefits for the economy at large. This paper, based on an extensive series of interviews in Turkey in 2005 as well as published sources, seeks to discuss these issues in light of Turkey's progress to date in taking advantage of advanced available telecommunications technology and the myriad productivity-enhancing services that are associated with it. An important element in developing a more competitive and dynamic sector has been Turkey's long-standing desire to become a member of the European Union (EU). This has encouraged changes in the telecommunications regulatory regime following the guidelines set out in Chapter 19 of the EU "acquis" for candidate members. Nonetheless, substantial further efforts are needed to complete and implement the desired regulatory framework, particularly as it affects the former government monopoly carrier, Turk Telekom and the cable companies. A further limiting factor in recent years has been an overall investment climate characterized by a high level of uncertainty for most investors, regardless of size or nationality. Policy recommendations to help accelerate the deployment of telecommunications technology include a clear reaffirmation of the government's priorities for the sector, a reduction in the level of regulatory uncertainty, strengthening the Board and Staff of the Telecommunications Authority, and reviewing policies to broaden the scope and decrease the cost of telecommunication licenses.

Suggested Citation

  • Burnham, James B., 0. "Telecommunications policy in Turkey: Dismantling barriers to growth," Telecommunications Policy, Elsevier, vol. 31(3-4), pages 197-208, April.
    • Handle: RePEc:eee:telpol:v:31:y::i:3-4:p:197-208
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    Citations

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    Cited by:

    1. Atiyas, Izak & Dogan, PInar, 0. "When good intentions are not enough: Sequential entry and competition in the Turkish mobile industry," Telecommunications Policy, Elsevier, vol. 31(8-9), pages 502-523, September.
    2. Han, Shengfei & Wang, Wei, 2014. "WTO accession, impediments to FDI, and the market opening of basic telecom services in China," China Economic Review, Elsevier, vol. 29(C), pages 68-81.
    3. Oğuz, Fuat, 2013. "Universal service in Turkey: Recent developments and a critical assessment," Telecommunications Policy, Elsevier, vol. 37(1), pages 13-23.
    4. Basaran, Alparslan A. & Cetinkaya, Murat & Bagdadioglu, Necmiddin, 2014. "Operator choice in the mobile telecommunications market: Evidence from Turkish urban population," Telecommunications Policy, Elsevier, vol. 38(1), pages 1-13.
    5. Karacuka, Mehmet & Çatık, A. Nazif & Haucap, Justus, 2013. "Consumer choice and local network effects in mobile telecommunications in Turkey," Telecommunications Policy, Elsevier, vol. 37(4), pages 334-344.
    6. Tözer, Ayhan, 2010. "Assessment of First Comer Advantages and Network Effects; the Case of Turkish GSM Market," 21st European Regional ITS Conference, Copenhagen 2010: Telecommunications at new crossroads - Changing value configurations, user roles, and regulation 35, International Telecommunications Society (ITS).
    7. I. Atiyas & P. Dogan, "undated". "Glass Half Empty? Politics and Institutions in the Liberalization of the Fixed Line Telecommunications in Turkey," Working Paper 33655, Harvard University OpenScholar.
    8. Bagdadioglu, Necmiddin & Cetinkaya, Murat, 2010. "Sequencing in telecommunications reform: A review of the Turkish case," Telecommunications Policy, Elsevier, vol. 34(11), pages 726-735, December.

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