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Turkey unveils $1.5 billion technology hub to power Steel Dome air defence system

Erdoğan hails historic investment as a milestone for Turkey’s defence independence

EUalive with agencies August 28, 2025 06:34

Turkish defence electronics giant Aselsan will more than double its production capacity with a $1.5 billion investment in the Ogulbey Technology Base, a state-of-the-art facility announced by President Recep Tayyip Erdoğan on 27 August, during a groundbreaking ceremony in Ankara’s Gölbaşı district.

Described as the largest single defence industry investment in Turkey’s history and Europe’s most extensive integrated air defence facility, the base’s first phase is slated for completion by mid-2026.

The ceremony also marked a significant milestone for Turkey’s ambitious Steel Dome air defence system, with Aselsan delivering 47 vehicles worth $460 million as part of this multi-layered shield, designed to protect Turkish airspace amid rising regional tensions.

Erdoğan emphasised the strategic importance of the Ogulbey base and the Steel Dome project, framing them as pivotal steps toward Turkey’s goal of defence self-sufficiency.

“The Ogulbey technology base will be one of the region’s most advanced defence technology centers, consolidating our production of cutting-edge air defence and radar systems,” he declared. “This is the largest defence industry investment ever made in a single instance in the history of our republic, placing Turkey in a different league.”

He further underscored the Steel Dome’s role in national security, stating, “Today, we are providing our heroic army with the Steel Dome system, consisting of 47 vehicles worth $460 million, which will inspire confidence in our friends and fear in our enemies. This system will make a world of difference for Turkey’s air defence.”

The Steel Dome project

Launched in August 2024 by Turkey’s Defence Industry Executive Committee (SSİK), the Steel Dome project, or Çelik Kubbe, aims to create a network-centric, AI-supported air defence system modelled in part on Israel’s Iron Dome but designed as a comprehensive “system of systems.”

Unlike Israel’s Iron Dome, which focuses on intercepting short-range rockets, Steel Dome integrates sea- and land-based platforms, including missile batteries, radars, and command-and-control centres, to counter a wide range of threats—from drones and cruise missiles to fighter jets and ballistic missiles. Erdoğan highlighted this ambition, saying, “No country that cannot develop its own radar and air defence system can look to its future with confidence in the face of current security challenges, especially in our region.”

The project responds to heightened regional instability, including Israel’s interventions in Syria following the fall of Bashar al-Assad, the 12-day Iran-Israel air conflict in June 2025, and ongoing wars in Ukraine and Syria. These conflicts have underscored the need for robust air defences, particularly after Turkey’s 2019 purchase of Russian S-400 systems led to its exclusion from the U.S.-led F-35 program, a setback that fuelled Ankara’s drive for self-reliance.

“Recent conflicts around us have revealed the importance of radar systems detecting incoming threats from the air,” Erdoğan noted, emphasizing that Steel Dome’s AI-powered command and control software, developed by Aselsan, enables “hundreds of air defence systems to operate as a single system.”

Ogulbey Technology base and economic impact

The Ogulbey base, set to employ around 4,000 people and boost Aselsan’s production capacity by 40%, is a cornerstone of Turkey’s defence industrialization strategy. Erdoğan described it as a transformative investment, stating, “In the next 50 years, Turkey will be a country that not only meets its own needs but also leads the world with its technology.”

The facility will produce critical components for Steel Dome, including the Siper long-range air defence system, Hisar-O 100 medium-range systems, and advanced systems like Ejderha (anti-drone electromagnetic warfare) and Turan (AI-driven network integration). Aselsan’s earlier $616 million investment in March 2025 for related tech facilities underscores the project’s scale, with the company aiming to meet growing export demand in NATO and Gulf markets.

Turkey’s defence industry has grown significantly since the U.S. arms embargo following the 1974 Cyprus invasion, with localisation reaching 83% and exports hitting $7.5 billion annually across 185 countries. Erdoğan highlighted this progress, saying, “Despite all obstacles, we have made significant progress in a very short time, making our defence industry systems available to our allies while boosting our diplomatic effectiveness.”

The Steel Dome’s export potential, as noted by Aselsan CEO Ahmet Akyol, could position Turkey as a key supplier to Gulf states and NATO allies, capitalizing on regional demand for air defence systems amid recent missile and drone threats.

The Steel Dome and Ogulbey base reflect Turkey’s strategic pivot toward technological independence, driven by regional security imperatives. Unlike Israel’s Iron Dome, which relies on U.S. support and costs $10,000–$50,000 per intercept, Steel Dome aims for cost-effective, domestically produced solutions, though challenges remain in achieving technological maturity for high-speed threats.

NATO membership adds complexity, as Turkey must balance its national IFF (Identification, Friend or Foe) systems with NATO algorithms to avoid conflicts with allies. Despite both Turkey and Greece being NATO members, recurrent tensions between the two nations persist, driven by longstanding disputes over maritime boundaries, Cyprus, and regional influence.

Erdoğan’s vision, however, is clear: “We fully understand that we cannot afford to leave things to chance. The element that defines the thin line between being at the table and being on the menu is air defence and offensive capabilities.”

Aselsan’s role, alongside partners like Roketsan and TÜBİTAK, positions Turkey to challenge global defence giants, but the system’s full operational timeline remains unspecified, with ongoing updates expected as new capabilities are integrated. The Ogulbey base and Steel Dome deliveries mark a significant step, reinforcing Turkey’s ambition to become a global defence player while addressing immediate security needs in a volatile region.

Sources: Reuters, The Times of Israel, AP News, Breaking Defence, Hürriyet Daily News, Turkish Minute, edited by g.g.

Caption: The Steel Dome project, or Çelik Kubbe, aims to create a network-centric, AI-supported air defence system modelled in part on Israel’s Iron Dome but designed as a comprehensive “system of systems.” [Aselsan on X]

Updated: August 28, 2025 - 06:35

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