Iran has warned that any renewed military attacks by the United States and Israel could lead to a wider regional conflict, with potential targets extending beyond military installations to oil facilities, undersea internet cables, data centres and artificial intelligence infrastructure.
Iranian officials have threatened to expand their response across the Gulf if attacks resume, raising concerns about possible disruption to energy supplies, digital communications and international business.
The warnings come as reports indicate that US and Israeli forces have been preparing options for renewed strikes, although no final decision to launch another operation has been confirmed.
According to a Reuters report published on October 23, two senior Iranian security officials said Tehran had developed plans to target undersea communications cables in the Gulf if the United States and Israel attacked again. One official warned that Iran could also try to delay repairs, potentially prolonging disruptions.
The cables carry internet and commercial data between countries, meaning damage could affect regional connectivity, financial transactions, online businesses and cloud services.
However, analysts cited by Reuters said the global impact could be limited because less than one per cent of international bandwidth passes through the Strait of Hormuz, despite undersea cables carrying the vast majority of global internet traffic overall.
Iran has also warned that energy infrastructure and technology facilities linked to the United States could be targeted. Such threats could put Gulf countries and international companies at risk, particularly as regional governments invest heavily in data centres and artificial intelligence services.
The economic consequences of renewed fighting could extend far beyond the countries directly involved. Disruption to oil and gas shipments through the Strait of Hormuz could put further pressure on fuel prices, shipping costs and inflation in several economies.
A September 2026 estimate by the US Congressional Budget Office put the cost of American military operations against Iran at approximately $38 billion as of August 1.
The estimate included expenses such as replacing used munitions and lost equipment, operational costs and increased fuel spending. The agency also warned that spending on missile-defence interceptors could leave the US with reduced inventories for years.
The figure does not mean the United States is facing bankruptcy. Instead, it illustrates the financial and military costs that can accumulate during a prolonged conflict.
The wider economic impact would depend on the intensity of fighting, the extent of damage to infrastructure and how long shipping and energy supplies were disrupted.
Iran’s threats appear intended, in part, to deter Washington from launching another military campaign by highlighting the potential risks to regional economies and American-linked investments. Whether Tehran could carry out all the threatened attacks, and how severe the resulting disruption would be, remains uncertain.
Diplomatic efforts and military preparations continue amid heightened regional tensions. Any renewed confrontation could therefore carry consequences not only for the United States and Iran, but also for Gulf states, global energy markets and businesses that depend on reliable internet and trade routes.
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