Iran Floats Fees on 500-Plus Undersea Cables in Hormuz as Digital Chokepoint Risks Grow
Updated
Updated · The Conversation · May 14
Iran Floats Fees on 500-Plus Undersea Cables in Hormuz as Digital Chokepoint Risks Grow
2 articles · Updated · The Conversation · May 14
Iranian state-linked media this week proposed charging undersea cable operators for access through what Tehran says is its offshore territory in the Strait of Hormuz.
More than 500 submarine cables carry over 95% of international data traffic, and several critical Europe-Asia-Africa routes pass through Hormuz and other narrow Middle East maritime chokepoints.
A cut or prolonged disruption there could slow connectivity across multiple regions at once, hit payments and trading systems, and raise risks for shipping, insurance and energy supply chains.
The vulnerability is not theoretical: Red Sea cable incidents in 2024 disrupted about 25% of internet traffic between Europe and Asia, while repairs in contested waters can take time and international coordination.
The episode underscores how undersea cables have become strategic infrastructure and potential coercive leverage, with sabotage or access restrictions carrying economic, military and geopolitical consequences far beyond the Gulf.
With undersea cables now a primary war target, can satellites prevent a global internet collapse?
As nations weaponize the ocean floor, who will write the new rules to prevent a worldwide digital blackout?
Iran’s 2026 Bid to Control Global Internet: Licensing, Fees, and the Digital Chokepoint at the Strait of Hormuz
Overview
In 2026, Iran is seeking to assert digital control over the Strait of Hormuz by proposing licensing and annual fees for undersea internet cables that connect Asia to Europe through this vital waterway. By framing the Strait as a 'digital chokepoint,' Iran aims to secure both economic and sovereign benefits, leveraging the region’s strategic importance for global data flow. This move highlights Iran’s view of these cables as vulnerable points in the digital economy and reflects a broader trend where control over critical digital infrastructure is becoming a key tool in international competition and geopolitical strategy.