Iran considers imposing fees on subsea data cables in the Strait of Hormuz

Iranian authorities are discussing a plan to impose fees on major technology companies for the use of subsea internet cables passing through the Strait of Hormuz. The proposal, mentioned by military spokesperson Ebrahim Zolfaghari last week, targets global corporations including Google, Microsoft, Meta, and Amazon. Reported plans from outlets linked to the Islamic Revolutionary Guard Corps suggest that companies may be required to comply with Iranian law, pay transit licensing fees, and utilize exclusively Iranian firms for cable repair and maintenance. While Iranian officials frame this as a revenue-generating measure, it remains unclear whether these cables traverse Iranian territorial waters. Analysts note that major networks such as AAE-1, FALCON, and Gulf Bridge International utilize this route, which is vital for global data, financial, and military communications. Furthermore, concerns exist regarding whether companies could legally pay these fees without violating existing United States sanctions against Iran. Some sources suggest that non-compliance could theoretically lead to interference with data traffic, though the technical feasibility and legal implications of such actions remain subject to debate.