Economy

Digital Economy in Iran Suffers $374m Loss During War

Iran’s Ministry of Information and Communications Technology says the country’s digital economy and ICT sector suffered losses worth 67.32 trillion tomans ($374 million) during the conflict triggered by the US-Israeli war against Iran, which began on Feb. 28.

According to a report provided by the ministry, the losses included both physical damage caused by missile strikes and bombings, as well as revenue declines suffered by digital businesses during periods of international internet disruption.

The report estimated direct and indirect physical damage to government and private ICT infrastructure at around 51 trillion tomans ($283 million). Of this amount, 42.6 trillion tomans ($237 million) was linked to damage in the public sector, while losses in the private sector reached 8.4 trillion tomans ($47 million).

In addition, businesses in the ICT and digital economy sectors lost an estimated 16.32 trillion tomans ($91 million) because of reduced revenues during the crisis.

The ministry said digital businesses experienced average daily losses of around 0.4 trillion tomans ($2.2 million) during the war period.

Telecommunications and communications companies recorded losses of 6.4 trillion tomans ($36 million), while e-commerce businesses suffered damages estimated at 2.36 trillion tomans ($13 million). Large-scale online platforms and digital services also faced losses of around 5.5 trillion tomans ($31 million).

Multi-Layered Shock

The report described war damage as a “multi-layered shock” that disrupted economic and social structures, noting that the ICT sector was among the hardest-hit areas because communication infrastructure forms the backbone of public services and the digital economy.

Despite the scale of the losses, the ministry said the impact was lower than during the nationwide internet blackout of Dey 1404 (Dec. 22, 2025-Jan. 20, 2026), when businesses reportedly lost around 20 trillion tomans ($111 million) after 238 hours—nearly 10 days—of complete internet disruption. 

Officials attributed the lower losses during the recent conflict to improved resilience in domestic digital infrastructure and changes made after the earlier outage.

According to the report, the restrictions imposed during the war mainly targeted international internet gateways, while Iran’s National Information Network and domestic internet exchange points continued operating without major disruption.

The ministry added that key services such as electronic banking, one-time password systems, messaging platforms, smart transportation and e-health services remained active because domestic routing systems stayed functional.

It also noted that many large businesses had transferred databases and core processing systems to domestic data centers after the Dey 1404 disruptions, helping maintain operations even when foreign online services became inaccessible.