Data Centers in Iran
5 locations found
- A
AFROOZ Tehran
dxb34140, Tehran
- I
Iranet Tehran
No. 7, Mehran, Azarmina, 9 th Koohestan, Tehran
- ST
Shabdiz Telecom Network Tehran
No. 26, 25 West St, Azadegan Blvd, South Sheikh Bahaei Ave, Tehran
- H
HomaTelecom Tehran
222 Molla Sadra Street, Tehran
- AP
Asre Pardazeshe Ettelaate Amin Institute Qom
Amin Boulevard, Qom
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Explore Markets in Iran
Iran – Emerging Digital Infrastructure Market
Executive Summary
Iran is a market for organizations requiring a domestic digital presence to serve its large population directly, often for regulatory or latency-sensitive applications. Deploying infrastructure here means navigating a complex operational environment and significant disaster risk to gain direct access to the country's consumers and businesses. Success depends on local partnerships and resilient facility engineering.
Iran: At A Glance
| Factor | Rating / Data | Notes |
|---|---|---|
| Global Connectivity Grade | B | Reflects developing international links and a focus on domestic connectivity. |
| Direct Cloud On-Ramps | 0 — as of September 2025 | Access requires private extension to regional hubs like Dubai. |
| Power Cost | Highly subsidized, but variable | Pricing is complex and subject to frequent government regulatory changes. |
| Disaster Risk | High (6.0/10) — as of September 2025 | Significant seismic activity and high exposure to natural hazards. |
| Tax Incentives | No | International sanctions create a difficult environment for business incentives. |
| Sales Tax | 9% VAT (standard rate) — as of September 2025 | The standard Value Added Tax applies to most goods and services. |
Network & Connectivity Ecosystem
Carrier Density & Carrier Neutrality: The carrier ecosystem is dominated by state-owned and local providers, with limited carrier-neutral facilities available. Several national and local providers are active, as of September 2025.
Direct Cloud On-Ramps: There are no direct cloud on-ramps within Iran, enabling access to 0 cloud regions, as of September 2025. Accessing major cloud providers like AWS, Google Cloud, or Microsoft Azure requires establishing private network connections to regional hubs such as Dubai or Istanbul.
Internet Exchange Points (IXPs): Peering is centralized through the national Telecommunication Infrastructure Company (TIC) IXP. This exchange handles the majority of domestic traffic, making it a critical component of the country's internet infrastructure.
Bare Metal: Bare metal solutions are available primarily through local Iranian hosting and data center companies. International provider options are not present in the market.
Power Analysis
Average Cost Of Power: Power costs for industrial users are heavily subsidized by the government, though rates can be inconsistent and subject to regulatory changes. The energy mix is dominated by fossil fuels (~95%), as of September 2025. This pricing structure can offer low operational costs but carries regulatory risk.
Power Grid Reliability: Grid reliability in major business centers like Tehran is generally adequate for commercial operations. However, all data centers rely heavily on redundant on-site power generation, including UPS systems and diesel generators, to guarantee uptime and mitigate grid instability.
Market Access, Business & Tax Climate
Proximity To Key Business Districts: Data centers are concentrated in and around Tehran. This provides low-latency access to the country's primary financial, governmental, and commercial districts, which is essential for banking and enterprise applications.
Regional Market Reach: Infrastructure in Iran is built to serve a domestic population of over 88 million people. It is not a hub for international content delivery due to its geopolitical standing and limited international connectivity.
Tax Advantage For Data Centers: There are no specific tax incentives for data center development. The business climate is shaped by international sanctions, creating a complex and challenging environment that requires specialized legal and financial navigation.
Natural Disaster Risk
Iran has a High natural disaster risk profile, with an overall score of 6.0 out of 10, as of September 2025. The primary threats are driven by severe seismic activity and significant exposure to flooding, which demands careful site selection and resilient infrastructure design.
Key natural hazards include:
- Earthquake: 9.3/10
- Coastal Flood: 7.4/10
- River Flood: 7.3/10
- Drought: 6.5/10
- Epidemic: 6.2/10
- Tsunami: 5.5/10
