A proposal for Iran to charge technology companies for undersea cables crossing its waters in the Persian Gulf appears to be far less financially significant than a potential transit toll on ships passing through the Strait of Hormuz, according to Notes on Geopolitics on Substack.
The publication noted that a maritime shipping toll imposed by Iran, possibly in coordination with Oman, could generate tens of billions of dollars annually. In contrast, a levy on underwater cables would likely bring in only a few hundred million dollars per year.
This disparity suggests the cable proposal currently functions more as a political signal than as a practical revenue measure.
The report also warned that any interference with submarine cable infrastructure could raise legal concerns under Article 79(2) of the UN Convention on the Law of the Sea, which restricts coastal states from obstructing the laying or maintenance of such cables.
Notes on Geopolitics emphasized that Tehran should avoid measures that could undermine what it described as Iran’s recent moral and diplomatic standing.
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