Iran Plans to Charge Tech Giants For Hormuz Subsea Cable Access

Iran is reportedly considering a new policy that could allow it to charge international technology companies for the use of undersea fiber-optic cables passing through or near the Strait of Hormuz, a move that could significantly expand Tehran’s influence over global digital infrastructure. According to reports carried by Iran-linked media outlets, the proposal would impose “transit fees” on submarine cable operators and potentially require major technology firms to comply with Iranian regulatory frameworks in order to maintain uninterrupted digital connectivity through the strategically important region.

The proposal was highlighted by the Iranian Revolutionary Guard-linked Tasnim News Agency, which reported that companies such as Google, Meta, Microsoft, and Amazon could eventually be affected if the plan is implemented. Iranian military spokesperson Ebrahim Zolfaghari also appeared to confirm the direction of the policy in a social media post, stating that Iran intended to impose fees on internet cables crossing its waters. The move is being viewed by analysts as part of Tehran’s broader strategy to strengthen its leverage amid rising geopolitical tensions with the United States and its allies.

Several major submarine cable systems, including FALCON, Gulf Bridge International, and Gulf-TGN, currently pass through the Strait of Hormuz region and form part of the critical digital network linking Asia, Europe, and the Middle East. These cables support internet services, financial systems, cloud computing operations, and military communications across multiple continents. Although most of the cable routes are positioned closer to Omani territorial waters, some traverse Iranian maritime zones, giving Tehran potential legal and strategic influence over future infrastructure development.

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Experts say the proposal could effectively create a “digital toll system” similar to the maritime transit fees collected through the Suez Canal in Egypt. Beyond generating revenue, the policy may also allow Iranian authorities to exercise greater oversight over data traffic moving through the region. Concerns have already emerged internationally over the vulnerability of undersea cable infrastructure, especially after several subsea cables were damaged in the Red Sea region in 2024 during attacks linked to Yemen’s Houthi militants, causing major internet disruptions across parts of the Middle East.

International legal experts, however, say enforcing such a system may prove difficult under existing maritime and communications laws. Professor Irini Papanicolopulu of SOAS University of London noted that while countries can impose conditions on new cable installations within their territorial waters, existing agreements and international regulations provide substantial protections for global communications infrastructure. Strategic waterways such as the Strait of Hormuz are governed by longstanding international conventions designed to preserve freedom of navigation and uninterrupted communication links.

The reported proposal comes amid heightened regional tensions involving Iran, Israel, and the United States, with the Strait of Hormuz remaining one of the world’s most strategically important maritime corridors. In addition to transporting a major share of global oil supplies, the region has increasingly become vital for international digital connectivity. Analysts say any attempt by Iran to regulate or financially control undersea internet infrastructure could trigger significant diplomatic, legal, and commercial reactions from governments and global technology companies alike.

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