Iran considers imposing transit fees on submarine cables in the Strait of Hormuz, a measure that could affect technology giants, raise legal questions, increase pressure on rivals, and raise alerts about internet traffic, banks, cloud, and strategic communications
Iran is considering charging transit fees for submarine cables crossing the Strait of Hormuz, a measure that could generate billions of dollars and increase Tehran’s pressure on international adversaries, according to a Tasnim announcement.
The proposal would affect consortia operating fiber optic cables in the region. Google, Meta, Microsoft, and Amazon would have to comply with Iranian regulations if the charges were applied.
Iran targets submarine cables
About seven major cables pass through the strait, concentrated in a narrow strip on the Omani side. Systems like FALCON, GBI, and Gulf-TGN cross Iranian waters.
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These structures connect data centers in Asia, Europe, and the Middle East. They support internet, cloud, banking transactions, military communications, data centers, and SWIFT financial messages.
The charges would function as a digital toll. Cables crossing Iranian waters, or nearby areas, would pay to maintain operations, similar to revenues obtained by Egypt in the Suez Canal.
Risk of monitoring and damage
The measure could lead Tehran to monitor data passing through the cables. CNN highlighted that the country has not declared sabotage, although combat divers, submarines, and drones pose a real threat.
Groups allied with Iran are cited as a risk. In 2024, three submarine cables were cut by Houthi militants aligned with Tehran in Yemen, using an anchor.
The incident reduced regional internet traffic by 25%. Still, the region represents about 1% of global bandwidth, making the worldwide impact less dependent on this corridor.
Legal limits and sanctions
Experts cite legal obstacles. Irini Papanicolopulu stated that old contracts must be honored, while new cables may depend on conditions imposed by States.
International maritime law protects straits used for international transit and existing cables. Western sanctions would also complicate payments to Iran, making the threat more political signaling than an executable proposal.

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