Internet shutdown squeezes Iran's ailing businesses already hurt by crashing currency

DUBAI, United Arab Emirates (AP) — Iranians have been struggling for nearly two weeks with the longest, most comprehensive internet shutdown in the history of the Islamic Republic — one that has not only restricted their access to information and the outside world, but is also throttling many businesses that rely on online advertising.

Authorities shut down internet access on Jan. 8 as nationwide protests led to a brutal crackdown that activists say has killed over 4,500 people, with more feared dead. Since then, there has been minimal access to the outside world, with connectivity in recent days restored only for some domestic websites. Google also began partially functioning as a search engine, with most search results inaccessible.

Officials have offered no firm timeline for the internet to return, leading to fears by businesses across the country about their future.

One pet shop owner in Tehran, who spoke on the condition of anonymity like others for fear of reprisals, said his business had fallen by 90% since the protests. “Before that, I mainly worked on Instagram and Telegram which I don’t have access to anymore. The government has proposed two domestic alternatives. The point is our customers are not there — they don’t use it.”

The internet outage compounds economic pain already suffered by Iranians. The protests, which appear to have halted under a bloody suppression by authorities, began Dec. 28 over Iran’s rial currency falling to over 1.4 million to $1. Ten years ago, the rial traded at 32,000 to $1. Before the 1979 Islamic Revolution, it traded at 70 to $1.

The currency’s downward spiral pushed up inflation, increasing the cost of food and other daily necessities. The pressure on Iranians’ pockets was compounded by changes to gasoline prices that were also introduced in December, further fueling anger.

Iran’s state-run news agency IRNA quoted a deputy minister of communications and information technology, Ehsan Chitsaz, as saying the cut to the internet cost Iran between $2.8 to $4.3 million each day.

But the true cost for the Iranian economy could be far higher. The internet monitoring organization NetBlocks estimates each day of an internet shutdown in Iran costs the country over $37 million.

The site says it estimates the economic impact of internet outages based on indicators from multiple sources including the World Bank and the International Telecommunication Union, which is the United Nations’ specialized agency for digital technology.

In 2021 alone, a government estimate suggested Iranian businesses made as much as $833 million a year in sales from social media sites, wrote Dara Conduit, a lecturer at the University of Melbourne in Australia, in an article published by the journal Democratization in June. She cited a separate estimate suggesting internet disruptions around the 2022 Mahsa Amini protests cost the Iranian economy $1.6 billion.

The 2022 internet disruptions' "far-reaching and blanket economic consequences risked further heightening tensions in Iran and spurring the mobilization of new anti-regime cohorts onto the streets at a time when the regime was already facing one of the most serious existential threats of its lifetime,” Conduit wrote.

More than 500 people were reportedly killed during that crackdown and over 22,000 detained.

Meanwhile, prosecutors have also begun targeting some businesses in the crackdown.

The judiciary's Mizan news agency reported Tuesday that prosecutors in Tehran filed paperwork to seize the assets of 60 cafes it alleged had a role in the protests. It also announced plans to seek the assets of athletes, cinema figures and others as well. Some cafes in Tehran and Shiraz have been shut down by authorities, other reports say.

The financial damage also has some people openly discussing the internet blackout.

In the comments section of a story on the internet blackout carried by the semiofficial Fars news agency, believed to be close to the country’s paramilitary Revolutionary Guard, one reader wrote: “For heaven’s sake, please do not let this internet cut become a regular thing. We need the net. Our business life is vanishing. Our business is being destroyed.”

Another commentator questioned why the internet remained blocked after days with no reports of street protests.

It’s not just the internet blackout that is hurting businesses. The violent crackdown on the protests, and the wave of a reported 26,000 arrests that followed, also have dampened the mood of consumers.

In Iran's capital, many shops and restaurants are open, but many look empty as customers focus primarily on groceries and little else.

“Those who pass by our shops don’t show any appetite for shopping,” said the owner of an upscale tailor shop in Tehran. “We are just paying our regular expenses, electricity and staff … but in return, we don't have anything.”

A man carries a carpet at Tehran's historic Grand Bazaar, Tuesday, Jan. 20, 2026, in Iran. (AP Photo/Vahid Salemi)

People walk at Tehran's historic Grand Bazaar, Tuesday, Jan. 20, 2026, in Iran. (AP Photo/Vahid Salemi)

A fruit seller waits for customer at Tehran's historic Grand Bazaar, Tuesday, Jan. 20, 2026, in Iran. (AP Photo/Vahid Salemi)

A shopkeeper waits for customer at Tehran's historic Grand Bazaar, Tuesday, Jan. 20, 2026, in Iran. (AP Photo/Vahid Salemi)

A shopkeeper holds garments at his store at Tehran's historic Grand Bazaar, Tuesday, Jan. 20, 2026, in Iran. (AP Photo/Vahid Salemi)

People shop fruits at a store in Tehran, Iran, Friday, Jan. 16, 2026. (AP Photo/Vahid Salemi)

Vehicles drive in downtown Tehran, Iran, Friday, Jan. 16, 2026. (AP Photo/Vahid Salemi)

A man checks information on a yogurt's package at a store in Tehran, Iran, Friday, Jan. 16, 2026. (AP Photo/Vahid Salemi)

CARDIFF, Wales (AP) — Wales tasted Six Nations success for the first time in 1,099 days after blowing away Italy 31-17 in Principality Stadium on Saturday.

The growing confidence from recent narrow losses against Scotland and Ireland spilled over into an unexpected and dominant bonus-point win, Wales' first in the championship since March 2023 when it beat Italy in Rome.

Wales was physical, direct and ruthless, leading 21-0 by halftime then 31-0 before Italy scored.

The Welsh scramble defense was also impressive as Italy had two tries ruled out, one held up, and another saved by an ankle tap.

While Wales ended the nightmare of a national record 15-match losing streak in the Six Nations, it was expected to finish with a third consecutive wooden spoon depending on fifth-placed England's result against France in the late match in Paris.

Italy was seeking a third successive win in Cardiff and an historic third win in a single championship after beating Scotland and England, but it was beaten up at the breakdown, lost its composure, and missed 30 tackles.

Wales made the penalties count.

A kick-chase penalty earned by workaholic winger Ellis Mee was booted into the corner and No. 8 Aaron Wainwright crashed over. Despite lineout issues, Wales used the platform again to drive at the line for a second Wainwright try.

Another lineout drive finished with captain Dewi Lake touching down. With Dan Edwards a perfect four-of-four off the tee and nine-for-nine in the tournament, Wales was a deserved 21-0 up after 29 minutes.

They resumed from the second half kickoff. Edwards slanted through a tired defense, converted his try and chipped a drop goal for a scarcely believable 31-0 lead.

Italy ruled the last 30 minutes. But Wales still made it tough for the visitor.

Replacements Tommaso Di Bartolomeo and Tommaso Allan dotted down for Italy but Wales' defense shone.

Mee held up hooker Giacomo Nicotera and made a try-saving tackle on opposite wing Monty Ioane, Edwards ankle-tapped Tommaso Menoncello when the midfielder looked like he was away, Tomos Williams stopped Allan on the tryline, and James Botham's sliding hip ruined a chance for Leonardo Marin.

AP rugby: https://apnews.com/hub/rugby

Wales' Daniel Edwards celebrates scoring a drop goal with team-mate Tomos Williams during the Men's Six Nations match between Wales and Italy in Cardiff, Wales, Saturday March 14, 2026. (David Davies/PA via AP)

Wales' Daniel Edwards scores their side's fourth try of the game during the Men's Six Nations match between Wales and Italy in Cardiff, Wales, Saturday March 14, 2026. (Mike Egerton/PA via AP)

Wales' Louis Rees-Zammit is tackled by Italy's Tommaso Menoncello during the Men's Six Nations match between Wales and Italy in Cardiff, Wales, Saturday March 14, 2026. (David Davies/PA via AP)

Wales players celebrate their side's third try of the game, scored by Dewi Lake, during the Men's Six Nations match between Wales and Italy in Cardiff, Wales, Saturday March 14, 2026. (David Davies/PA via AP)