Artificial intelligence has evolved beyond being merely a technology topic in the global economy, becoming a strategic lever that determines countries' competitive strength. By 2025, as capital flows, corporate transformation speeds, and talent competition intensify in this field, Turkey has also passed a critical threshold in the artificial intelligence ecosystem. Yapay Zeka Fabrikasi, the corporate venture capital company and acceleration program within Türkiye İş Bankası, published the “2025 Turkish Artificial Intelligence Ecosystem and Global Impact Report” prepared with the contributions of Startups.watch and Endeavor Turkey.

180 artificial intelligence startups received early-stage investment

The report reveals that Turkey has transformed from merely a technology user to a global value creator. According to the report, there are 1,188 active artificial intelligence startups operating in Turkey. The fact that approximately 70% of these startups were founded in 2020 or later indicates that the ecosystem is young but has high growth potential. The fact that 180 startups received early-stage investment in the 2024–2025 period indicates that larger-scale financing rounds and new unicorns may emerge in the coming years.

Global investments hit record highs, selectivity increased

One of the most important points highlighted in the report is the transformation in global artificial intelligence investments. While the number of investment deals declined in 2025, the total investment volume reached a historic peak. This picture shows that investors are allocating high-value capital to more mature companies with market leadership potential rather than to a large number of early-stage startups. As of November 2025, there are 326 artificial intelligence unicorns worldwide. While 67% of unicorns are located in the Americas, Europe and Asia stand out as other rapidly growing but increasingly competitive hubs. With Insider achieving unicorn status, Turkey is the only country in Eastern and Southeastern Europe to have achieved this success. This makes Turkey a critical entry point for regional investment strategies.

The diaspora made a difference: Investment median is 24 times higher

The report also addresses the global impact of the artificial intelligence diaspora. 274 Turkish-founded artificial intelligence startups are rapidly scaling up in global markets, primarily in the US and the UK. In 2025, the median investment amount received by diaspora startups reached $2.4 million.

This figure is 24 times higher than the median investment amount for Turkey-based artificial intelligence startups. The fact that Turkish-founded companies such as Fal.ai and Periodic Labs have become unicorns shows that the diaspora ecosystem also provides knowledge transfer to the local ecosystem in terms of global sales, pricing, and scaling experience.

Artificial Intelligence Factory became the financial backbone of the ecosystem

The Artificial Intelligence Factory, which is covered in a special section of the report, stands out as a strategic structure established in 2023 and quickly becoming one of the most active investors in the ecosystem. Having invested in 30 startups to date, the Artificial Intelligence Factory's portfolio includes 52 startups and 1 unicorn. The total investment attracted by this portfolio to date is $546 million, and its total valuation exceeds $5 billion.

Artificial intelligence should be positioned alongside humans, not in their place

Sharing his views, İş Bankası General Manager Hakan Aran emphasizes that artificial intelligence has become a strategic factor affecting the global balance of power. Stating that Turkey must be a producer in this race, Aran notes that they have taken concrete steps toward this goal with the Artificial Intelligence Factory, university collaborations, and venture capital investments. He notes that artificial intelligence should be positioned alongside humans, not in place of them.

Startups' scaling decisions accelerated

Faruk Eczacıbaşı, Chairman of the Board of Directors of the Turkish Informatics Foundation, defines the transformation in artificial intelligence as a “narrative shift,” while Emre Kurttepeli, Chairman of the Board of Directors of Endeavor Turkey, emphasizes that Turkey should focus on applications and solutions that work on infrastructure rather than being an infrastructure producer in artificial intelligence.

Sadullah Uzun, Director General of National Technology at the Ministry of Industry and Technology, points out that artificial intelligence is a strategic area that strengthens Turkey's digital sovereignty and the National Technology Initiative vision. Insider CEO Hande Çilingir states that the global experience of the diaspora accelerates product-market fit and scaling decisions for startups in Turkey, adding that a “global-first” perspective will create a lasting competitive advantage. Can Bakır, CEO of Yapay Zekâ Fabrikası, also emphasizes that artificial intelligence is now “today,” stating that they are positioned as a structure that unites and guides the ecosystem.

B2B continues to dominate, mobile applications come to the fore

While approximately 75% of artificial intelligence startups in Turkey are B2B-focused, the share on the B2C side is relatively limited. According to the report, one in four startups producing solutions in the GenAI field in Turkey is mobile application-based. The reflex to open up to the global market in the mobile game sector is enabling Turkish YK applications to rise to the top ranks in app stores. Some startups reaching over $10 million in monthly recurring revenue (MRR) in less than five years clearly demonstrates the economic return on this advantage.

The app economy will take center stage in 2026

The report's projections indicate that competition in the coming period will be shaped more by applications and commercialization than by infrastructure. In this new phase, where competing with global giants in large language models and hardware is becoming increasingly difficult, the real opportunity for Turkey lies in AI solutions that focus on vertical sectors, scale rapidly, and appeal to the global market. According to experts, Turkey has the potential to become a regional hub for AI, thanks to its young population, strong engineering infrastructure, and increasingly mature entrepreneurial ecosystem.

Most intensive area: Computer Vision and GenAI

While Computer Vision is the area with the highest concentration of artificial intelligence startups in Turkey, it is followed by Generative AI and Conversational AI. Among the Turkish diaspora, GenAI and Agentic AI solutions are more dominant. This differentiation shows that startups abroad are more oriented towards advanced automation, decision architecture, and scalable SaaS models.

Organizations are distant from local AI startups

A survey conducted specifically for the report reveals that 53% of organizations in Turkey have integrated AI into their business processes. However, only 6.25% of organizations work with local AI startups. This picture shows that there is still a significant scale barrier to overcome between the corporate side and startups.