The Minister of Information and Communications Technology Seyed Sattar Hashemi has welcomed the more than 500% increase in fiber-optic connections and a 40% increase in network coverage over the past two years.
Hashemi has also called for removing
the economic, legal, and operational barriers to the development of the network
stating that President Masoud Pezeshkian administration’s goal is to shift the
current landline-to-mobile traffic ratio from 20:80 toward a 50:50 ratio by
making use of fiber-optic network capacity.
He made the remarks in a meeting
on Tuesday to review development of the fiber-optic project attended by
executives of the operators responsible for implementing the project.
Expressing his appreciation to
the operators for continuing to implement the fiber-optic project despite the
country’s difficult circumstances, the ICT Minister Hashemi said that follow-up
meetings should be held regularly.
“In addition to receiving
progress reports, obstacles and challenges to fiber-optic development can be
addressed through consultation and cooperation among the various stakeholders,”
he noted.
Referring to the high share of
mobile networks in the country’s communications traffic, he added: “The current
ratio of landline to mobile traffic is approximately 20:80.”
“This differs from the pattern in
many countries. Therefore, at the beginning of the current administration, a
target was set to use the capacity of the fiber-optic network to move this
ratio toward 50:50.”
Above 500% fiber-optic growth
The ICT Minister noted the
difficult conditions the country has faced over the past two years, including December
2025 unrest, two wars, and serious restrictions on international Internet
connectivity.
“Despite these circumstances,
fiber-optic development did not stop, and operators and implementing
organizations remained committed to the project. These efforts deserved
appreciation.”
“Over this two-year period,
fiber-optic connections increased by more than 500%, while coverage grew by
around 40%, from approximately 8 million to 11 million. It demonstrates the
continuation of excavation, duct deployment, and fiber installation operations
in different parts of the country.”
He identified increasing connections,
in addition to expanding public access, as one of the reasons for the
government’s shift toward measuring actual connectivity.
“When monitoring is based solely
on coverage indicators, it is difficult to conduct precise oversight, whereas
actual subscriber connections can provide a clearer picture of the state of the
network,” he stated.
Sustainable development requires sustainable
economy
The ICT Minister continued by emphasizing
the adjustment in telecommunications tariffs appropriately.
“If the economics of a sector
cannot be corrected, sustainable development cannot be achieved through
directives and government-mandated policies alone. Even if development takes
place under such conditions, it will be fragile.”
Referring to the delay in
reforming telecommunications tariffs, he stressed the need to reform and update
tariff-setting mechanisms.
“Regulations should include a
mechanism under which tariffs and related thresholds are updated annually in
accordance with inflation, exchange rates, and other economic indicators, so
that network development does not face the same challenges every year.”
“If investment in this sector is
not attractive,” he added, “the imbalance in communications infrastructure will
become more severe in the future, and ultimately we may be left without a
network whose quality we can even discuss.”
“Therefore, network development
and the provision of high-quality communications services to the public must be
pursued simultaneously,” Hashemi reiterated.
Fiber-optic fund to be resolved
by end of October
Referring to the resources of the
Fiber-Optic Development Fund, Hashemi said that keeping funds locked in the
fund, given the economic conditions and inflation, is harmful to the
communications sector and that resources that could contribute to network
development should not remain idle in the fund.
“Some of the fund’s problems stem
from legal and organizational bylaws issues. In light of these problems, a
mechanism for making advance payments against guarantees has been put on the
agenda.”
The Minister added that the
mechanism governing the Fiber-Optic Development Fund is scheduled to be
finalized by the end of October at the Communications Regulatory Authority stressing
that cooperation from the operators is essential in this process.
“Strengthening operators
ultimately benefits the public. The stronger and more financially capable
private-sector and telecommunications operators become, the more the benefits
will be reflected in people’s lives and in the quality of communications
services.”
“We must therefore remove the
obstacles to development in this sector with such perspective,” he noted.
Removing obstacles to fiber
development in major cities
Hashemi identified interaction
with municipal authorities as another obstacle to fiber-optic development,
saying that progress has been made in cooperation with municipalities in some
major cities, including Mashhad, Shiraz, and Tabriz, but obstacles still remain
in Tehran and need to be addressed.
“The issue is on the ICT Ministry’s
agenda. A report on the situation in Tehran is to be prepared, followed by a
meeting involving the provincial authorities, Tehran Municipality, and the
First Vice President to find an operational solution.”
He expressed hope that an
agreement in Tehran could become a model for resolving fiber-optic development
problems in other major cities across the country.
Proposal for new tariffs
At the end of the meeting,
Hashemi referred to a proposal to use the capacity of the Telecommunication
Infrastructure Company to facilitate the development of the network.
“It has been decided that the
issue of vague transparent fiber and transmission tariffs, taking into account
the conditions of each city and region, would be examined jointly by executives
of the Telecommunication Infrastructure Company and the operators, with a
proposed mechanism to support network development to be presented.”
The ICT Minister emphasized that
at the next project review meeting, the implementation of the decisions and the
progress made would be reviewed, saying that all parties are expected to
seriously pursue the removal of obstacles to fiber-optic development.