The Strait of Hormuz has long been recognized as one of the world's most strategically important waterways because nearly one-fifth of global oil consumption passes through the narrow maritime corridor. However, recent discussions have shifted beyond oil to another critical asset lying beneath the sea—the network of submarine fibre-optic cables that carry the vast majority of international internet traffic.
This has sparked speculation that Iran could use these undersea cables as a geopolitical weapon, leading some analysts to describe the situation as a potential "$10 trillion threat" to the global digital economy.
The debate intensified after media reports linked to Iran's security establishment suggested that submarine internet cables in the Strait of Hormuz could become a source of strategic leverage. Some reports even argued that trillions of dollars in digital transactions pass through these cables daily, highlighting their economic significance. While the rhetoric has raised international concern, many telecommunications experts caution that the actual threat is more limited than sensational headlines suggest.
The importance of undersea fibre-optic cables cannot be overstated. According to international telecommunications experts, more than 95 percent of global internet and data traffic travels through submarine cable networks rather than satellites. These cables support cloud computing, banking transactions, artificial intelligence infrastructure, international communications, and countless online services relied upon by governments, businesses, and individuals worldwide.
Concerns about the vulnerability of these networks are not without precedent. In late 2024 and early 2025, several incidents involving ships dragging their anchors damaged submarine communication cables and power infrastructure in the Baltic Sea. Investigations focused on vessels including the Russian-linked tanker Eagle S and the Chinese cargo ship Yi Peng 3, drawing global attention to how easily critical underwater infrastructure can be disrupted—whether accidentally or intentionally. These incidents prompted NATO and several European governments to strengthen surveillance of undersea infrastructure.
Business commentator Patrick Bet-David recently echoed these concerns, noting that many people underestimate how vulnerable global communications infrastructure becomes during periods of geopolitical tension. He argued that these developments reinforce the need for greater redundancy and resilience across internet infrastructure, from governments to hyperscale data centres.
However, experts also stress that fears of a worldwide internet blackout resulting from damage in the Strait of Hormuz are often exaggerated. Telecommunications researchers explain that the cables crossing Hormuz primarily serve Gulf nations and nearby regions. Unlike the much larger cable concentration passing through Egypt and the Suez corridor—which carries substantial traffic between Europe and Asia—the Hormuz cable routes are not considered the central backbone of the global internet.
As a result, if cables in the Strait of Hormuz were damaged, Gulf countries could experience slower internet speeds, outages, and disruptions to financial and digital services. Nevertheless, internet users in countries such as the United States and many other regions would likely notice little or no direct impact because global internet traffic is designed with multiple alternative routes and built-in redundancy. Experts also note that cable failures occur regularly worldwide and are typically repaired by specialised cable-repair vessels, although active military conflict could complicate repair efforts.
Another widely debated claim is that Iran developing nuclear weapons would deter foreign invasion because no nuclear-armed country has been invaded. While nuclear deterrence has historically influenced international security calculations, whether Iran acquiring nuclear weapons would produce long-term regional peace remains highly contested. Supporters argue it could discourage military intervention, while critics warn it could trigger a regional arms race, heighten tensions, and increase proliferation risks. There is no international consensus supporting either outcome.
Ultimately, the growing discussion surrounding the Strait of Hormuz highlights an important reality: modern economies depend not only on visible infrastructure such as ports, oil terminals, and shipping lanes, but also on thousands of kilometres of largely unseen submarine cables beneath the oceans. As geopolitical rivalries intensify, protecting these digital lifelines has become just as important as safeguarding global energy supplies.
While the idea of Iran "crippling the world's internet" makes for dramatic headlines, current expert assessments indicate that any disruption in the Strait of Hormuz would likely be regional rather than global. Nevertheless, the episode serves as a reminder that resilience, redundancy, and international cooperation remain essential to protecting the infrastructure that powers the modern digital economy.
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