Iran ICT Market Size (2024 - 2029)

Iran ICT Market Analysis

The Iran ICT Market size is estimated at USD 24.65 billion in 2024, and is expected to reach USD 29.67 billion by 2029, growing at a CAGR of 3.78% during the forecast period (2024-2029).

• According to international reports, Iran is one of the Middle East's developing countries, with a high per capita GDP that ranks among the upper-middle countries. Research shows that the development of e-government in the country is directly tied to that country's economic status. The World Bank announced that Iran is ranked 73rd among 217 countries and autonomous regions in terms of the electronic-government index.
• One sector that has shown potential for growth in Iran is the digital economy. According to a report by the Iranian Information and Communications Technology Ministry, the country's digital economy is projected to grow at an annual rate of 35% and reach a value of USD 100 billion by 2025. This is mainly due to the high level of education among the Iranian population and the increasing use of technology in business and everyday life.
• As Iran seeks to expand its digital economy and enhance its economic ties with the Persian Gulf States and other non-US countries, there are significant investment opportunities for businesses and investors. For example, Iran's start-up ecosystem is rapidly growing, with more than 5,000 start-ups currently operating there. Many of these start-ups are focused on e-commerce, fintech, and other digital services.
• In addition, Iran's large and young population represents a significant market for businesses. More than 60% of Iran's population is under the age of 35, and this demographic is increasingly tech-savvy and interested in digital services. Iran's positive relations with the Persian Gulf States and other non-US countries provide significant opportunities for investment in Iran's digital economy.
• Iranian construction firms also attempt to utilize ICT in their projects. However, ICT adoption in the construction industry is a complicated process and depends on many factors. Based on obtained data from a survey by IAARC, the respondents believe that ICT infrastructure needs to be improved in Iran.
• In response to an increased demand for Internet access from citizens based at home, the three mobile operators, Hamrah-e Aval (MCI), MTN Irancell, and Rightel, developed special service offerings during the post-COVID scenario.

Iran ICT Industry Segmentation

Information and communication technologies or ICT is a broader term for information technology (IT). It refers to all communication technologies, such as wireless networks, the internet, computers, cell phones, software, videoconferencing, middleware, social networking, and other media applications and services enabling users to store, access, transmit, retrieve, and manipulate information in a digital form. The revenue tracks the product offerings provided by the companies.

The Iranian ICT market is segmented by type (hardware, software, IT services, and telecommunication services), size of enterprises (small and medium enterprises and large enterprises), and industry verticals (BFSI, IT and telecom, government, retail and e-commerce, manufacturing, energy and utilities, and other industry verticals). The market sizes and forecasts are provided in terms of value (USD) for all the above segments.