Iran's internet infrastructure experienced a near-total collapse on Thursday, disrupting business operations and communication across the country amid widespread protests over the nation's economic crisis. The sudden disconnection is expected to have significant financial repercussions for Iranian businesses reliant on online transactions and international trade.

Internet traffic in Iran plummeted to near-zero levels starting around 11:30 a.m. ET, according to data from multiple internet monitoring firms. Kentik, a company that monitors internet traffic worldwide, confirmed the near-total blackout. Cloudflare and IODA also registered precipitous drops in connectivity at the same time. David Belson, head of data insight at Cloudflare, noted that while a small amount of traffic persisted, the country was effectively offline.

The internet shutdown arrives at a particularly vulnerable time for the Iranian economy. The Iranian rial has experienced a sharp decline in value recently, triggering public unrest and exacerbating existing economic challenges. The disruption to internet services will likely compound these issues, hindering online commerce, disrupting supply chains, and limiting access to vital information. Many Iranian businesses rely on platforms such as e-commerce sites and social media for sales and marketing, and the blackout effectively shuts down these channels.

Iran's internet infrastructure has been a subject of ongoing debate. The government has been accused of implementing increasingly strict controls over online access, including filtering websites and social media platforms. The current blackout raises concerns about the government's willingness to disrupt internet services to quell dissent. Companies providing internet infrastructure and services in Iran, including state-owned telecommunications firms, face increasing scrutiny over their role in enabling or facilitating these disruptions.

Looking ahead, the internet shutdown is likely to further isolate Iran from the global economy and hinder its ability to attract foreign investment. The incident highlights the risks associated with operating in a country with a history of internet censorship and control. The long-term impact on Iran's tech sector and its ability to participate in the digital economy remains uncertain, but the immediate consequences are undoubtedly negative for businesses and citizens alike.