Strengthening Ties Thales` Commitment to Türkiye`s Defense & Technological Advancement
Defence Turkey: Could we start our conversation by discussing Thales' current position? What can you tell us about the areas where Thales leads the industry?
Jesús Sánchez BARGOS: Thales is one of the global technology leaders in defense and security, aerospace and cybersecurity and digital identity worldwide. Its leadership in defense is undisputed, Thales is number 1 in Europe, having an important role in the contribution of the national sovereignty of State Members within NATO framework. And in recent years Thales has become a major player in cybersecurity worldwide. Thales is leader in AI, cybersecurity and quantum technologies and operates in 68 countries and has 81,000 employees worldwide, almost 300 employees in Turkey working in defense, Aerospace and also in Digital Identity Security with relevant references at national level like the I Class MILGEM Frigates, the Göktürk-1 observation satellite, the Turkish passport or the National IoT eSIM Deployment, among many others.
Ali YILDIZ: Thales holds a leading global position in critical markets such as defense, aerospace, space, digital identity, transportation, and cybersecurity. In defense, we lead the industry with smart sensors, radar systems, command and control systems, and integrated communication solutions. In the aerospace sector, Thales is renowned for its expertise in flight control systems, avionics, and air traffic management solutions. Additionally, Thales plays a critical role in space technologies with satellite communications and earth observation systems. Our advancements in digital security and cybersecurity further demonstrate our commitment to building a safer, more connected world.
Defence Turkey: Spain and Türkiye. The President of the Government of Spain, Pedro Sánchez, and the President of the Republic of Turkey, Recep Tayyip Erdoğan, have inaugurated the Spain-Turkey Business Meeting within the framework of the VIII High-Level Meeting between the two governments, held in Madrid in June. As a result, there are some areas of collaboration between both nations: Banking, Fashion industry…Defense….How do you see this collaboration?
Jesús Sánchez BARGOS: Spanish President Pedro Sánchez appointed in the last High-Level Meeting held in Madrid in June 2024 that Spain is Turkey's best ally in Europe. In this respect, Sánchez called on Spanish and Turkish companies to forge alliances to work in third markets and increase the cooperation. For us in Thales, Spain and Türkiye represents two markets with great potential of growth in digital transformation services including cybersecurity, in banking services…And of course, in security and defense. Both countries play an important role in security being natural border for Europe, with examples, such as smart border systems EES and also there has been an historical relationship between in naval domain with global players such as Navantia working in important projects for Türkiye.
Defence Turkey: International Relations. Thales has organized its regional presence now a VP of the region Iberia-Türkiye, what are the synergies of this type of organization?
Jesús Sánchez BARGOS: In 2021 Thales decided to sell its transportation business worldwide. In Spain, Thales became a global competence center in Spain and from there led railway projects in Turkey. This is one historical reason why in the new organization the regions of Iberia and Turkey are run jointly. But also, the similarities of the two countries in terms of very relevant opportunities in the field of digitalization and all that it entails in security. As I mentioned before, Thales has a strategy of localization of capabilities, and Turkey has highly specialized professionals in the field of defense, which allows us to export to the rest of the world. Thales has played a key role to help the Turkish defense and aerospace local industry to develop local capabilities generating complementarities through joint programs and developments
Defence Turkey: Thales established its first physical presence in Türkiye in 1987 and has maintained a presence in the country for nearly 40 years. Could you share insights into Thales' history and current footprint in Türkiye? What are some of your key references in Türkiye?
Ali YILDIZ: Thales in Türkiye has been a trusted partner in the country since 1987, supporting key national projects in defense, aerospace, digital and transportation. Over nearly 40 years, Thales has built a solid reputation by collaborating with Turkish partners, offering advanced technologies such as naval systems, integrated radar solutions, air traffic management systems and digital solutions. Thales has supported major initiatives, including the MILGEM program, Turkish Navy platforms, and airport management systems, which demonstrate our long-standing commitment to Türkiye's technological advancement and sovereignty.
Jesús Sánchez BARGOS: Besides, I would like to remark that Thales positioning in Türkiye go beyond domestic projects. Thales' critical systems have also been integral to Türkiye's recent naval platform exports. Through its extensive portfolio of solutions and its commitment to local partnerships, Thales continues to be a key contributor to Türkiye’s defense capabilities, ensuring the country remains at the forefront of technological innovation and defense industry growth.
Defence Turkey: Could you tell us about the collaborations you have undertaken with Turkish Defense Industry companies in the areas of defense, aerospace, and space technologies?
Ali YILDIZ: Thales has established strong partnerships with Türkiye's defense industry, collaborating on significant programs in defense, aerospace, and space technologies. We have worked alongside Turkish defense companies to provide radar and sonar systems for naval platforms, integrated communication systems, and electronic warfare solutions. Additionally, in the aerospace sector, Thales has contributed to many significant projects and solutions supporting Türkiye's growing aviation infrastructure. Our ongoing collaborations are built on technology transfer, local production, and a shared vision for innovation.
Jesús Sánchez BARGOS: Indeed, stablishing local partnerships with local players is part of Thales strategy worldwide. We are fully aware of the importance of localizing capabilities, and to this regard, Spain and Türkiye share this approach specially in defense, space, security sectors.
Defence Turkey: What are Thales’ future objectives in Türkiye?
Ali YILDIZ: Thales’ future objectives in Türkiye are centered around strengthening our local partnerships, fostering innovation, and supporting Türkiye’s strategic priorities in defense, aerospace, and digital transformation. Our vision includes Investing in local talent and expertise to further develop Türkiye’s technology ecosystem. Introducing next-generation technologies such as AI-driven defense systems, advanced radar solutions, and cybersecurity frameworks tailored to Türkiye’s growing needs; Exploring co-development opportunities and enhancing technology transfer to empower the local industry whenever it’s possible; Expanding our footprint in digital solutions for transportation, smart cities, and critical infrastructure, aligning with Türkiye’s modernization goals. Türkiye remains a key market for Thales, and we are committed to delivering solutions that combine global innovation with local value, driving growth across multiple sectors in the coming years.
Jesús Sánchez BARGOS: The area of cyber security in Turkey will be key. Cyber defense and cyber security are indispensable, and we have very differentiated cyber security services capabilities in the region with two SOCs in Southern Europe. Without forgetting our presence and ambition to lead the Airspace mobility systems in the Country, in addition our partnership with Turkish Airlines is a key asset of Thales in Türkiye.
Defence Turkey: What projects or initiatives were part of Thales Türkiye’s agenda for 2024, and how many of these have been implemented so far? What are your expectations for 2025?
Ali YILDIZ: Thales aims to strengthen its presence in Türkiye by expanding partnerships, enhancing local collaborations, and supporting the growth of the Turkish defense and technology sectors. Our objectives include:
Increasing local engineering capabilities.
Collaborating with Turkish industry on cutting-edge defense and aerospace projects.
Supporting Türkiye’s digital transformation with advanced cybersecurity and digital identity solutions.
Thales is committed to fostering sustainable innovation and contributing to Türkiye’s strategic technological goals. For 2025, we aim to further strengthen our partnerships, explore opportunities for co-development, and focus on emerging technologies.
Defence Turkey: You have been serving as Thales Türkiye Country Director since June 1, 2020. What are some of the key achievements from the past four years of your tenure, and what are your primary goals and strategies for the remainder of your term?
Ali YILDIZ: Over the past four years, we have achieved significant growth across multiple areas in Türkiye. We have witnessed a substantial increase in the business volume of our companies in the country, enhancing both their capabilities and operational scale. Initiatives to forge new partnerships with the Turkish defense and aerospace industries have been launched, further strengthening our collaboration in these critical sectors. Moreover, we successfully introduced cutting-edge digital solutions to the Turkish market, with Some of these solutions had their worldwide launch in Türkiye. Even during the challenges posed by the pandemic, we maintained seamless support for our systems and services, ensuring minimal disruption for our partners and customers. Additionally, we completed timely growth initiatives to meet rising demands across all sectors.
Our focus moving forward is to continue expanding these successes, further solidifying Thales' role as a trusted key partner in Türkiye’s technological and industrial advancements. Looking ahead, my primary goals are to:
Continue driving innovation and technology transfer in Türkiye.
Expand our presence in key sectors,
Foster sustainable partnerships to support Türkiye’s strategic technological objectives.
Thales remains committed to delivering high-value solutions and contributing to Türkiye's technological advancement and global competitiveness.
Defence Turkey: Thales, together with Thales Raytheon Systems (TRS) — a joint venture with Raytheon Technologies — actively participates in the NATO Air Command and Control System (ACCS) Project, the world's first Integrated Air and Missile Defense (IAMD) System. After over 20 years of development within NATO, in how many countries is the ACCS currently operational? Could you update us on the progress of the system's modernization and upgrade efforts?
Bülent HAMZAOĞLU: The Air Command and Control System (ACCS) is one of NATO's long-term projects and has been developed and managed by the NCI Agency over the years. In 2019, the NCI Agency signed an “In Service Support (ISS) contract” with TRS (Thales Raytheon Systems) as part of the ACCS project. The ACCS assets CAOC Uedem, Germany, DACCC (Deployable Air Command and Control Centre) and 2 DARSs (Deployable ARS) Poggio Renatico, Italy, ARS Eskisehir, Türkiye and ARS Larissa, Greece were supported as part of the project. In addition, the improvements were tested at the ACCS STVF (System Test and Validation Facility) installed at NPC The Hague. In addition to these NATO units, the French National CAOC was located at Lyon Mont Verdun, France.
TRS developed an upgrade program called "Addendum 3" in the following years, We as YALTES participated this upgrade in Eskişehir and successfully finalized the program. But at the end of 2023 some NATO countries decided to terminate the ACCS project (mainly political decisions). Within NATO, DACCC Poggio Renatico + 2 ARS and STVF NPC The Hague continue their existence as of our knowledge. We are proud to be a part this program and still keep our resources available for the future support.
Defence Turkey: One of Thales' most significant defense-related activities in Türkiye is the YALTES company, which was established in 2002 with a local partner and fully acquired by Thales in 2011. What is Thales’ perspective on YALTES, and what are your plans and goals for the next decade?
Bülent HAMZAOĞLU: YALTES is a company that has been operating under Thales' Defense Mission Systems Global Business Unit in Turkey for over 20 years. Over the years, it has delivered high-tech solutions for both critical local projects and projects within the Thales Group. Particularly for the indigenous shipbuilding programs in Turkey, it has developed unique solutions that have contributed to increasing the local content ratio. In significant projects that Thales is undertaking around the world, YALTES fulfills its roles by providing engineering support and serial production of products, especially in terms of software modules and hardware development.
In the coming years, YALTES aims to continue to increase its contributions through local projects and export projects executed from Türkiye, as well as responsibilities assigned by Thales. In this context, YALTES has been designated as a center of competence for Thales AWS Business Line for combat system hardware and continues to undertake significant tasks within ongoing projects.
Defence Turkey: Thales has provided YALTES with substantial work packages for high-profile naval surface warfare ship projects abroad, such as the Type 31 Class (T31) Frigate Projects for the UK Royal Navy and the Polish Navy, as well as the K130 Corvette Batch II and F126 Frigate Projects for the German Navy. Most recently, on December 2, 2024, a serial production contract was signed between YALTES and Thales Netherlands (TNL) for MOC Mk4 Block 2 Operator Consoles for the Type 31 Class Frigates. Could you provide details on the work packages assigned to YALTES and the scope and timeline of this production contract?
Bülent HAMZAOĞLU: As stated, YALTES has been designated as a Hardware Center of Competence within Thales AWS Business Line for the design, verification, and serial production of Combat Management System Hardware. Accordingly, YALTES employees have been equipped with the necessary training, tools, and technologies, and starting from 2021, they began providing products for the T31 Frigate project. The project was completed in 2024 with the delivery of five ship sets of hardware for the T31 Frigate.
In 2024, a new initiative within the business line was launched to produce standard products in a new way of working, aiming to produce fully standardized products, the same quality level and on time. In line with the planning carried out within this scope, a contract for 100+ units was signed on December 2, based on existing and expected project demands. These products will be delivered within two years, and the contract quantities will be updated according to new projects.
YALTES will also take on a significant role in the German Navy's F-126 Project, which is currently the most comprehensive project being conducted within the Thales AWS Business Line. Over 300 units of hardware will be produced specifically for the six frigates and land-based test and training centers for this project. Due to the high level of requirements and quality needed for this project, it will be a challenge for YALTES but will also raise the technology level significantly. In summary, YALTES will be a key Combat System Hardware provider within the AWS business line over the long-term programs.
Defence Turkey: During the SAHA EXPO 2024 Fair, a YALTES official mentioned efforts to integrate their locally developed Integrated Platform Control and Monitoring System (EPKİS) into Thales’ product portfolio as part of a comprehensive Thales solution, with expectations for inclusion by 2025. Could you share your perspective on this development?
Bülent HAMZAOĞLU: Since 2007, YALTES has been an Integrated Platform Management System provider for Combatant Ships, primarily as part of the MİLGEM project. This journey, which initially began with an international partnership, soon became a completely YALTES product after we designed and qualified our own solution. We have successfully implemented our solution to all Newbuilding Combatant Ship platforms and a number of modernization programs for the Turkish Naval Forces under the trade name PIKET3000. We have also participated in export projects carried out by Turkish Defense Industry companies and shipyards. Our footprint reached sixty platforms in six different navies by 2024.
Over the years, we have added new capabilities to PIKET3000 and produced solutions for special purpose of the ships. One of the best example of this, is the special products such as; Cargo Ballast Control System, Hull Structural Monitoring System, and Replenishment Information Panel within the EPKİS we provided for the Fleet Replenishment and Combat Support Ship (DIMDEG) TCG DERYA. Similarly, we are developing the Main Propulsion Control and Monitoring System, which was previously supplied by a foreign provider for I-Class Frigates, locally and this system will be used in 6-12th Ships. We also provided specially designed Integrated Platform Management Systems for two separate SSB projects for Unmanned Surface Vehicles. With these activities, we have achieved the capability to develop solutions from 15-meter Unmanned Vehicles to Aircraft Carrier scale. In this sense, our product is a unique solution both domestically and within the Thales Group
In 2024, we initiated the necessary evaluation process for our solution to become a Thales standard product. With this initiative, we will ensure that our product will be more visible within the Thales Group and will be able to be offered in all markets that Thales addresses, without being limited to export projects from Turkey alone. We aim to complete this process in 2025.
Defence Turkey: Could you elaborate on Thales’ plans regarding the Turkish Defense Industry?
Bülent HAMZAOĞLU: Thales has completed its planning to grow the position of YALTES as a reliable and reputable defense industry player in Türkiye, in line with its strategic business plan. According to the Thales Towards 2030 plan,
YALTES aims to:
Be 100% involved in Integrated Platform Management Systems solutions in Turkey and export projects from Turkey for Combatant Ships
Sign in-service support (ISS) contracts for installed base products on existing platforms
Provide state-of-the-art solutions to first-tier defense industry companies for Surface Ships, Submarines, and Unmanned Surface Vehicles within the scope of Combat Management Systems Hardware
Develop and provide Combat Management System Hardware as a Competence Center within the Thales AWS Business Line
Offer Integrated Platform Management System solutions within the Thales product family to all addressable markets
Participate in development activities in Türkiye for ongoing Aircraft Carrier, Air Defense Frigate and MILDEN National Submarine programs
We will continue our efforts in line with our sustainable growth objectives
