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Iran's Internet Blackout Cripples Businesses Amidst Protests
20 Jan
Summary
- Nearly two weeks of comprehensive internet shutdown have crippled Iran's economy.
- Businesses report losses of up to 90% due to inaccessibility of platforms.
- Daily economic loss is estimated at over $37 million by monitoring groups.
Iran is experiencing its longest and most extensive internet shutdown, now in its second week as of January 20, 2026. This prolonged outage, initiated on January 8, 2026, in response to nationwide protests and subsequent crackdowns, has severely limited access to information and global connectivity.
The internet restrictions are having a devastating effect on businesses. Anonymously speaking, a Tehran pet shop owner stated their business has declined by 90%, as essential platforms like Instagram and Telegram are inaccessible, and domestic alternatives lack user bases.
The economic impact is compounded by Iran's struggling economy, marked by a depreciating rial and rising inflation. Daily losses from the internet outage are estimated by NetBlocks to be over $37 million, significantly higher than official government figures.
This situation echoes disruptions around the 2022 Mahsa Amini protests, which cost the economy an estimated $1.6 billion and risked further social unrest. Authorities are also targeting businesses, with prosecutors seeking to seize assets of cafes allegedly involved in recent protests.
