Iraq is emerging as both a major digital and commercial transit hub connecting Europe and the Middle East. Its geographic advantages make it an ideal bridge between Europe and the Middle East. For too long it has been overlooked or underappreciated as a critical connectivity option for global carriers, regional service providers and hyperscalers.
Multi-billion-dollar investments are fueling growth across Iraq’s industries. Continued investment in digital infrastructure spanning Iraq has created a digital corridor that provides terrestrial routes from key hubs in the Kingdom of Saudi Arabia (KSA), UAE, and Bahrain, as well as cable landing stations that connect to Asia-Pac via Oman.
Unlike some neighboring countries, Iraq has seen a decade or more of stability and an opening of global trade. At the same time, the Red Sea has seen growing congestion with many subsea cable systems running in parallel through the Suez Canal. Telecom Egypt estimates that 17% of the global internet connects via the Suez Canal, making it one of the most concentrated centers for subsea cable infrastructure in the world.
Houthi rebel activity saw cables in the Red Sea damaged in early 2024, disrupting connectivity between the Middle East and Europe. One of the many challenges is that repair ships have limited access to the region, which can prolong outages. According to the Suez Canal Authority, 50% fewer ships transited via the Suez Canal in 2024 compared to the previous year. The shipping and logistics industry is rerouting and avoiding the Red Sea at great cost to their businesses.
The challenge for global carriers, regional service providers and hyperscalers is to mitigate these risks and add new resiliency to their networking strategies. They need diversity as well as low-latency networks to support increasingly AI-enabled applications and mission-critical cloud services. The answer is Iraq.
Finding alternatives
There is an opportunity for network-centric businesses to add Iraq’s terrestrial routes to their networking strategies. It isn’t a matter of swapping out routes via the Suez Canal, but instead adding new resilience via alternative routes. The Suez will always play a vital role in regional and global connectivity. It is about identifying new routes that support networking strategies and mitigate risks.
This is becoming increasingly important with global deployments of bandwidth-intensive and latency-sensitive applications and services. Cloud and AI have created a networking market where ‘best effort’ no longer matches the requirements of hyperscalers, governments and large enterprises.
What matters now is finding the ideal alternative that provides a range of benefits and partners that can help to maximize the value of Iraq in a networking strategy. The players that recognize Iraq’s potential will see immediate benefits in terms of resiliency, reliability, and performance when connecting between the Middle East and Europe.
Iraq’s digital corridor
High-performance networking will maximize Iraq’s geographical advantages and add greater resilience and diversity to its networking strategies. It needs to be simple to navigate the region’s environment with on-the-ground experience and network infrastructure.
Geopolitical Advantage – Growing stability and expert partners are making Iraq an essential component of international networking strategies, providing new diversity and resilience between digital hubs. Its central location provides alternative terrestrial routing options directly into Turkey.
Infrastructure Expansion – A growing number of investments are being made in Iraq’s digital infrastructure. New transit agreements and partnerships are opening up the region to an increase in data traffic, driving not only network performance but economic growth.
Reduced Latency – Using Iraq’s strategic position, carriers and service providers will benefit from lower latency between routes connecting Europe and the Middle East. This is key to growth in our current landscape because applications like AI and cloud services require faster processing speeds.
Regional Connectivity – As Iraq emerges in the telecommunications industry, it is ready to be the next global transit hub. It is continuing to grow, attracting investment, innovation and new insights.
Diversified Routes – Iraq offers a viable alternative to over-saturated global network routes. As data demand increases, having multiple pathways connecting Europe to the Middle East will provide more flexibility, lower congestion, and improve redundancy for critical traffic flows.
Resiliency in the AI Era– The Iraq digital corridor reduces risk while increasing resiliency for mission-critical cloud, content, communications and emerging AI applications and services. It opens Iraq up to any player that wants to use its geographic advantages and depth of infrastructure to expand reach, add resilience and grow locally in Iraq and across the globe.
To get started, carriers and service providers should look for a partner with experience in the market. The partnership should be straightforward, transparent and reliable to succeed. By being equipped with a comprehensive suite of network tools, organizations set themselves up to be fast, flexible and future-ready. Customerscan connect across Europe, Asia and the Middle East with new levels of agility.
Building partnerships for success
Operating in Iraq requires a deep understanding of its operational landscape and business environment. It is a region with complex regulatory requirements that need to be monitored by experts. To increase the chances of success, carriers and service providers should collaborate with partners who have on-the-ground experience. It is key to establish partnerships with an organization that understands the region’s complexities and ensures seamless integration.
Without local expertise, carriers and service providers will struggle to navigate the regulatory frameworks and secure the necessary permissions. Iraq is only going to become more important as demand grows. More diversity is needed as new routes emerge between Northern Iraq and Central Asia.
The key is for hyperscalers, carriers, government organizations, and large enterprises to find a partner that can deliver. Partnering with an established provider will mitigate risks and capitalize on the opportunities presented by Iraq’s digital growth. It’s not just the connectivity that is essential, compliance and operational efficiency are equally critical.
As the global demand for diverse and resilient connectivity continues to expand, Iraq’s strategic position will become increasingly vital. Carriers and service providers need to recognize the potential in the region and prepare to capitalizse on the Iraq digital corridor. Taking proactive steps now means organizations can establish themselves as a leader in this industry. The ones who act now will position their networks to meet future demands.
