| Study Period | 2019 - 2030 |
| Base Year For Estimation | 2024 |
| Forecast Data Period | 2025 - 2030 |
| Market Size (2025) | USD 0.96 Billion |
| Market Size (2030) | USD 1.29 Billion |
| CAGR (2025 - 2030) | 5.98 % |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order |
Iraq ICT Market Analysis
The Iraq ICT Market size is estimated at USD 0.96 billion in 2025, and is expected to reach USD 1.29 billion by 2030, at a CAGR of 5.98% during the forecast period (2025-2030).
- The market is witnessing robust growth, propelled by a rising focus on digital technologies like cybersecurity, artificial intelligence, and robotics. The ICT sector in Iraq is expanding, driven by significant investments in both hardware and software services by local companies.
- A growing number of individuals embracing online shopping, the development of data centers, and smart city initiatives, alongside the increasing rates of mobile and broadband penetration, are expected to boost the nation's ICT market. Industries like media and entertainment are embracing digital technologies to improve their operational efficiency using solutions such as cloud-based tools and platforms.
- Players in the market are involved in partnerships, mergers, and innovations to gain a competitive advantage over their peers. In May 2023, Ooredoo partnered with Axon, aiming to offer IoT-managed connectivity services to its clientele spanning MENA. This initiative encompasses nations like Algeria, Tunisia, Jordan, Kuwait, Qatar, Oman, Iraq, and Bahrain.
- In November 2023, Iran's Isa Zarepour and Iraq's Hiyam al-Yaseri inked a memorandum of understanding, solidifying ICT collaboration. The agreement outlines joint efforts in bolstering communication infrastructure, sharing cyber security and AI expertise, and fostering international ICT partnerships.
- Digital tools are crucial for their users due to the resilience they provide, offering easy access, immediate responses, and swift scalability. However, Iraq continues to grapple with digitizing its government, encompassing services from government to business, government to government, and government to citizens.
Iraq ICT Market Trends
Increased Demand for Digitalization and Scalable IT Infrastructure
- With the rapid adoption of digital strategies, Iraq is witnessing a massive amount of data generation by businesses and individuals. Owing to such trends, the country is investing in data center facilities to manage these data volumes.
- The government is focused on strengthening the country's digital infrastructure. In February 2024, the government curriculum in Iraq embraced digital transformation, encouraging US tech firms to bolster their presence in the nation. This push not only seeks to have these companies share their international expertise but also emphasizes the need for enhanced collaboration with local Iraqi institutions. Such partnerships position these firms to reap significant profits, especially as Iraq intensifies its focus on digital strategies and broadens its financial inclusion initiatives.
- In August 2023, the government inaugurated the National Data Center. The data center is part of the country's "digital transformation," a goal that is supported by external organizations, including the United Nations Development Programme, the World Bank, the UK Government Digital Service, the World Food Programme, the International Cooperation Agency, the Canadian Ministry of Foreign Affairs, and IMMAP.
- The healthcare sector authorities in the country are increasing their emphasis on new, smart technologies to modernize healthcare services. In February 2023, the World Health Organization (WHO), in collaboration with the Ministry of Health in Iraq, inaugurated the Health Digitalization Program to strengthen the health information system and produce data and information to facilitate evidence-based decision-making in the health sector. Such digitalization initiatives across various sectors, including healthcare, are expected to boost the market.
- Moreover, the MENA region is experiencing increased cyberattacks, which increased the demand for more robust ICT solutions, such as firewalls and anti-malware software, among others, to handle such breaches and ensure the security of businesses and individuals in Iraq. According to Microsoft, between July 2022 and June 2023, nation-state or state-affiliated cyber threat actors targeted Iraq in approximately 5% of network intrusions originating from the Middle East and North Africa.
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IT and Telecom Sector is Expected to Increase the Market Demand
- The IT infrastructure sector is poised to witness substantial growth during the forecast period, primarily fueled by the escalating demand for streamlined IT systems and digitalization. While the Internet of Things (IoT) represents the next frontier, its rising prominence also amplifies the risks, with more sophisticated systems becoming targets for lucrative malware attacks. As a result, the security services market is expected to most likely benefit from increased business adoption of cloud technology and IoT devices during the forecast period.
- The Ministry of Planning, in its 2022 smartphone usage report released on October 2023, stated that 86% of Iraqis over the age of 5 utilize mobile phones. The report highlighted a higher usage rate among males, at 90%, in contrast to females, at 81%.
- The government has allocated a large part of the budget to realize its vision and plans. Therefore, the market vendors continue to see the demand and growth opportunities in the country. In April 2024, the Iraqi communications ministry's Informatics and Telecommunications Public Company (ITPC) signed an agreement with Kuwait's Zajil Telecom to create an international transport corridor to Europe from Iraq that will pass through Turkey and offer an alternative route to those passing through the Red Sea.
- Recognizing the potential of 5G to bolster its economy and enhance citizen well-being, Iraq is actively embracing this technology. The sectors set to benefit most from 5G's efficiency and quality enhancements include energy, transportation, healthcare, and power supply. In October 2023, Iraq rolled out its latest 5G cellular network, joining a group of 54 nations at the forefront of this technology. The nation now plans to open bidding to global firms for the project.
- According to Ericsson, the number of smartphone subscriptions in the Middle East and North Africa has increased from 490.47 million in 2020 to 597.44 million in 2023. The rising smartphone penetration in the MENA region, including Iraq, is driving the demand for a wide range of ICT solutions, such as mobile network infrastructure and e-commerce platforms, among others.
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Iraq ICT Industry Overview
The Iraqi ICT market is moderately competitive and moving toward the fragmented stage as it currently consists of various significant players. Several key players in the market are constantly making efforts to bring advancements. Some key players in the market are IBM Corporation, Oracle, Microsoft Corporation, Cisco Systems, and Google LLC.
- February 2024: Sparkle unveiled its first point of presence (PoP) in Erbil, marking a significant milestone at Capacity Middle East. This strategic move empowers customers with direct entry to Sparkle's extensive IP suite. Noteworthy features include DDoS protection, enabling customers to autonomously shield their networks from cyber threats. Sparkle's virtual NAP offers seamless access to premier Internet Exchange Points (IXPs), eliminating the necessity for proprietary infrastructure.
- August 2023: Asiacell, a telecommunications provider in Iraq, partnered with the global tech giant Huawei to introduce the Middle East's inaugural Intelligent IP Network. This milestone underscores Asiacell's commitment to not just meeting but exceeding the heightened service level agreement (SLA) demands, especially in the 5G and Cloud technology era.
Iraq ICT Market Leaders
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IBM Corporation
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Microsoft Corporation
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Infosys Limited
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Wipro Limited
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Telefonaktiebolaget LM Ericsson
- *Disclaimer: Major Players sorted in no particular order
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Iraq ICT Market News
- May 2024: Iraq sought collaboration with Amazon on data center to facilitate internet access. The project, according to a statement from the Ministry of Communications, aims to improve internet affordability and access for Iraqi citizens. The cloud region will enable customers to securely store content and run workloads while offering higher speed for its users.
- February 2024: DE-CIX, the provider of Internet Exchange (IX) operations, and IRAQ-IXP, Iraq's neutral Internet Exchange, partnered to launch the "IRAQ-IXP powered by DE-CIX" Internet Exchange. This platform, designed to be a regional connectivity hub, facilitates low-latency interconnections for local networks and promotes the localization of global content. In doing so, it bolsters network stability, scalability, and security in the country.
Iraq ICT Industry Segmentation
ICT encompasses a spectrum of technological tools that facilitate the transmission and processing of information. The term itself is an amalgamation of information, communication, and technology. The study tracks key market parameters, underlying growth influencers, and major vendors operating in the market, which supports the market estimations and growth rates over the forecast period. The study also tracks the revenue accrued from various ICT types that are used in various industry verticals across Iraq.
The Iraqi ICT market is segmented by type (hardware, software, IT services, and telecommunication services), size of enterprises (small and medium enterprises and large enterprises), and industry vertical (BFSI, IT and telecom, government, retail and e-commerce, manufacturing, energy and utilities, and other industry verticals). The market sizes and forecasts are provided in terms of value (USD) for all the above segments.
| By Type | Hardware |
| Software | |
| IT Services | |
| Telecommunication services | |
| By Size of Enterprises | Small and Medium Enterprises |
| Large Enterprises | |
| By Industry Vertical | BFSI |
| IT and Telecom | |
| Government | |
| Retail and E-commerce | |
| Manufacturing | |
| Energy and Utilities | |
| Other Industry Verticals |
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Iraq ICT Market Research FAQs
How big is the Iraq ICT Market?
The Iraq ICT Market size is expected to reach USD 0.96 billion in 2025 and grow at a CAGR of 5.98% to reach USD 1.29 billion by 2030.
What is the current Iraq ICT Market size?
In 2025, the Iraq ICT Market size is expected to reach USD 0.96 billion.
Who are the key players in Iraq ICT Market?
IBM Corporation, Microsoft Corporation, Infosys Limited, Wipro Limited and Telefonaktiebolaget LM Ericsson are the major companies operating in the Iraq ICT Market.
What years does this Iraq ICT Market cover, and what was the market size in 2024?
In 2024, the Iraq ICT Market size was estimated at USD 0.90 billion. The report covers the Iraq ICT Market historical market size for years: 2019, 2020, 2021, 2022, 2023 and 2024. The report also forecasts the Iraq ICT Market size for years: 2025, 2026, 2027, 2028, 2029 and 2030.
Iraq ICT Industry Report
Statistics for the 2025 Iraq ICT market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Iraq ICT analysis includes a market forecast outlook for 2025 to 2030 and historical overview. Get a sample of this industry analysis as a free report PDF download.
