The Kara Koyunlu and Ak Koyunlu States (1375–1508)

At the end of the 14th century the Oghuz Turkmen tribes around Lake Van formed two powerful confederations: the Kara Koyunlu (Black Sheep) and the Ak Koyunlu (White Sheep). The Kara Koyunlu state was founded by Kara Mehmed and his son Kara Yusuf, who retook Tabriz in the struggle against the Timurids and made it his capital.

The most powerful Kara Koyunlu ruler was Jahan Shah (1438–1467), who wrote poetry in Azerbaijani Turkic under the pen name "Haqiqi". The Blue Mosque built in Tabriz in his time is a jewel of Turco-Islamic architecture. In 1467 Jahan Shah was defeated by the Ak Koyunlu ruler Uzun Hasan.

Uzun Hasan (1453–1478) extended the Ak Koyunlu state from Azerbaijan to the Persian Gulf and established diplomatic ties with Venice. In 1473 he was defeated by the Ottomans at Otlukbeli. In the early 16th century the Ak Koyunlu lands passed to the Safavid state founded by Shah Ismail — Uzun Hasan's grandson on his mother's side.