Investing in Turkey’s Mobile Gaming Sector: Why Foreign Investors Are Buying Studios in 2025

Introduction: Why Turkey’s Mobile Gaming Sector Attracts Foreign Investors

Turkey has emerged as one of the world’s most promising hubs for mobile gaming and app development, driven by its young, tech-savvy population, low production costs, and a highly creative developer ecosystem. For foreign investors looking for high-growth opportunities, acquiring a Turkish mobile game studio provides direct access to a market that has consistently produced global hits such as Peak Games, Rollic, and Dream Games.

Turkey’s government actively supports the mobile gaming sector with cash-back incentives on advertising and platform commissions, making it one of the most cost-efficient regions globally for user acquisition and scaling game titles.

This 2025 guide will explain why now is the best time for foreign investors to enter Turkey’s mobile gaming sector, how state incentives significantly improve ROI, what due diligence is required, and how to structure acquisitions to maximize post-deal success.

Section 1: Market Drivers Behind Turkey’s Mobile Gaming Growth

• Young, digital-native population: Over 60% under 35, driving gaming consumption.

• Cost-effective production: Lower labor costs for development and art assets.

• Global distribution potential via Google Play and App Store.

• Existing success stories that prove scalability (Peak Games sold to Zynga for $1.8B, Rollic to Zynga, Dream Games raising $225M).

• High user acquisition efficiency with lower CPI compared to Western markets.

Turkey’s mobile gaming studios are adept at building hyper-casual, casual, and hybrid casual games that scale rapidly in global charts.

Section 2: Government Incentives for Mobile Gaming and App Companies

Turkey’s Ministry of Trade and Technology provides state-backed incentives for mobile gaming and app companies:

• 60% reimbursement of advertising expenses for global user acquisition campaigns (up to specific annual limits).

• 50% reimbursement of platform commission fees (Apple App Store, Google Play) collected from Turkish entities.

• Support for international fair participation and branding.

Example:

If a Turkish studio spends $100,000 on Facebook and Google Ads for global UA, it can receive back up to $60,000 within ~12 months. If the studio generates $100,000 on the App Store and Apple collects a $15,000 commission, $7,500 can be reimbursed.

These incentives dramatically improve user acquisition ROI and margin structures for games, making Turkish studios highly attractive acquisition targets.

Section 3: Why Foreign Investors Are Buying Turkish Studios

• Access to talented, experienced teams at competitive costs.

• Existing pipelines of live and prototype games ready to scale.

• Favorable government incentives that continue post-acquisition.

• Cash-flowing user acquisition with lower CPI, accelerating revenue generation.

• Strategic positioning for MENA and European markets.

Foreign buyers often see Turkish acquisitions as a plug-and-play model: a tested team with live games, in a low-cost market, with state incentives boosting UA budgets.

Section 4: Due Diligence Specific to Mobile Gaming and App Companies

4.1 Revenue and Monetization Review

• In-app purchase (IAP) vs. advertising revenue splits.

• Verifying App Store and Google Play panel revenues.

• Reviewing ad monetization networks and eCPM performance.

• Checking contract terms with ad networks and publishers.

4.2 User Metrics Analysis

• Retention rates (D1, D7, D30).

• ARPU and LTV calculations.

• Churn rates.

• CPI trends and UA funnel efficiency.

4.3 Technical and IP Due Diligence

• Source code ownership and documentation.

• Trademark, brand, and copyright registrations.

• Compliance with Apple/Google policies.

4.4 Tax and Regulatory Compliance

• KVKK (Turkey’s GDPR) compliance for user data.

• Tax debt checks, social security compliance.

• Review of employment agreements, especially for developers and artists.

Section 5: Structuring the Acquisition

5.1 Share vs. Asset Purchase

• Share Purchase: Faster, licenses and app store accounts remain intact, but historical liabilities transfer.

• Asset Purchase: Cleaner, selective asset transfer, potential VAT implications.

5.2 Tax Considerations

• Share transfers are VAT-exempt.

• Potential stamp duty if contracts are signed in Turkey.

• Structuring payments to align with FX management and capital control regulations.

5.3 Transferring Government Incentives

Government support can continue post-acquisition, but requires notification and certain documentation. It is critical to plan this during transaction structuring.

5.4 Using Escrow and Earn-Outs

• Hold-back structures to manage performance and risk.

• Earn-out models aligned with game revenue post-acquisition.

Section 6: Post-Acquisition Integration and Scaling

6.1 Retaining Key Talent

• Turkish gaming studios are developer and artist driven; securing key team members is critical.

• Use retention bonuses and clear growth plans.

6.2 Leveraging State Incentives

• Ensure timely applications for advertising and commission reimbursements.

• Align UA campaigns to maximize incentive benefits.

6.3 Global Scaling

• Utilize Turkey’s low CPI to aggressively scale globally.

• Expand into MENA with localized UA strategies.

Section 7: Case Study: Successful Acquisition of a Turkish Studio

A European gaming firm acquired a mid-sized Turkish hyper-casual studio:

• Discovered $350,000 in eligible advertising expenses for reimbursement.

• Retained the core developer team with equity and bonus structures.

• Integrated UA campaigns with the parent company, leveraging low CPI.

• Scaled a hit title globally, recouping acquisition costs within 18 months.

Conclusion: Why Now is the Best Time to Invest in Turkey’s Mobile Gaming Sector

The Turkish mobile gaming sector provides:

• Lower production and user acquisition costs.

• State-backed financial incentives that improve margins.

• Talented teams ready to execute and scale globally.

• Proven track records of global success.

Foreign investors can enter a high-growth, scalable market while mitigating risks through structured acquisitions and state incentives.

Reach us

Interested in acquiring a mobile game studio in Turkey to leverage growth, talent, and state incentives? Book a strategy call to receive a customized roadmap for your acquisition and incentive maximization.

info@ozmconsultancy.com