Turkey has one official Internet exchange point (IXP), the Turkish Information Exchange, or TIX. 11 Established in 1997 as a private initiative with a large number of
members in its first years, TIX languished after it was restructured into a company in
2002. 12 Subsequently, a second IXP was established in June 2003 with the collaboration of a number of leading ISPs. Although this second platform was used extensively
for a couple of months, the traffic on this exchange point has also declined, starting at
the end of December 2003, as a result of the severe price competition ISPs faced from
Turk Telecom. 13
Following liberalization, Turk Telecom had to transfer its cable assets to a governmental entity (Turksat) responsible for communications satellites as proposed by the
Turkish Competition Authority. The largest share of investments in the original cable
telecoms company was made by private operators. Government control over the telecom pipelines is expected to be only a temporary solution, but it has caused serious
concerns among private operators regarding the certainty of their investments. 14 Of
24 satellite platform operators in the country, Turksat is the main one. The company
is also responsible for designing the government portal offering e-government services.
The main mobile operator is the private Turkcell with more than 28.7 million subscribers as of March 31, 2006. 15 The largely private mobile company Telsim is second
with 8 million subscribers, followed by Aria with 4 million. 16 Both Turkcell and Telsim
have been issued 25-year licenses to operate in the mobile phone sector.
Before initiating operation, VoIP operators need to obtain a license. The ‘‘Authorization Regulation on the Telecommunications Services and Infrastructures’’ of August 26,
2004, states that the general authorization granted to ISPs for performing activities
does not include provision of VoIP services (Article 5.1 of Annex A6). Pursuant to Article 4.1. of Annex A9 of the same regulation, the ISPs willing to provide VoIP services
would need to obtain a license for long-distance telephony services from the Telecommunications Authority. However, compared to the environment before the market
liberalization, VoIP services are more accessible now. There are a number of local VoIP
clients providing an alternative to Skype that targets Turkish and even international
markets. 17
Legal and Regulatory Frameworks
Regulatory Framework
The Telecommunications Authority (TA) was established under Law No. 4502 in
2000. 18 Prior to that time, the Ministry of Transportation handled regulatory issues in
the field of telecommunications. This ministry still approves the changes in license fees
proposed by the telecoms agency. The so-called independent regulatory authorities,
including the TA, were recently established in Turkey to regulate and monitor sectors
of strategic importance for the state. 19 While these authorities are part of the adminis344
Turkey
members in its first years, TIX languished after it was restructured into a company in
2002. 12 Subsequently, a second IXP was established in June 2003 with the collaboration of a number of leading ISPs. Although this second platform was used extensively
for a couple of months, the traffic on this exchange point has also declined, starting at
the end of December 2003, as a result of the severe price competition ISPs faced from
Turk Telecom. 13
Following liberalization, Turk Telecom had to transfer its cable assets to a governmental entity (Turksat) responsible for communications satellites as proposed by the
Turkish Competition Authority. The largest share of investments in the original cable
telecoms company was made by private operators. Government control over the telecom pipelines is expected to be only a temporary solution, but it has caused serious
concerns among private operators regarding the certainty of their investments. 14 Of
24 satellite platform operators in the country, Turksat is the main one. The company
is also responsible for designing the government portal offering e-government services.
The main mobile operator is the private Turkcell with more than 28.7 million subscribers as of March 31, 2006. 15 The largely private mobile company Telsim is second
with 8 million subscribers, followed by Aria with 4 million. 16 Both Turkcell and Telsim
have been issued 25-year licenses to operate in the mobile phone sector.
Before initiating operation, VoIP operators need to obtain a license. The ‘‘Authorization Regulation on the Telecommunications Services and Infrastructures’’ of August 26,
2004, states that the general authorization granted to ISPs for performing activities
does not include provision of VoIP services (Article 5.1 of Annex A6). Pursuant to Article 4.1. of Annex A9 of the same regulation, the ISPs willing to provide VoIP services
would need to obtain a license for long-distance telephony services from the Telecommunications Authority. However, compared to the environment before the market
liberalization, VoIP services are more accessible now. There are a number of local VoIP
clients providing an alternative to Skype that targets Turkish and even international
markets. 17
Legal and Regulatory Frameworks
Regulatory Framework
The Telecommunications Authority (TA) was established under Law No. 4502 in
2000. 18 Prior to that time, the Ministry of Transportation handled regulatory issues in
the field of telecommunications. This ministry still approves the changes in license fees
proposed by the telecoms agency. The so-called independent regulatory authorities,
including the TA, were recently established in Turkey to regulate and monitor sectors
of strategic importance for the state. 19 While these authorities are part of the adminis344
Turkey