The Korek Telecom dispute escalated on Wednesday after the Erbil-based company accused Iraq’s telecommunications regulator of acting unfairly. Moreover, the company claimed that authorities used weak justifications to cancel a settlement agreement backed by the prime minister’s office.
In a statement, Korek said the Communications and Media Commission (CMC) continues to show bias against the company. Furthermore, the company described the regulator’s recent actions as arbitrary and harmful.
Korek argued that the CMC aims to push the company out of the market. Additionally, it accused the regulator of exceeding its legal authority.
According to the company, the suspended agreement resulted from a high-level committee. Officials established the committee following a decree issued by the prime minister’s office in May 2025.
Meanwhile, the CMC announced on Tuesday that it had canceled the settlement agreement with Korek. The regulator also pledged to take legal, technical, and regulatory steps to enforce the decision.
Furthermore, the commission stated that it aims to safeguard public funds and recover debts owed to the state. The CMC also stated that Korek bears full legal and financial responsibility for failing to implement the agreement.
However, the conflict has already affected millions of users. Subscribers across Iraq and the Kurdistan Region have faced service disruptions for years.
As a result, many customers cannot make calls or send messages through domestic and international networks. The problems began after the CMC blocked several Korek services in November 2023.
Earlier, the regulator had warned the company that its operating license had expired. Officials also said Korek failed to pay large sums owed to the state.
Consequently, authorities refused to renew the company’s license. Later, in February 2025, the CMC suspended Korek’s internet services.
The regulator cited unpaid debts and repeated violations. In addition, former parliamentary communications committee head Zahra al-Bajari said Korek owed nearly two trillion Iraqi dinars.
That amount equals around $1.5 billion. The figure includes licensing fees and other outstanding obligations.
Nevertheless, Korek has consistently rejected those accusations. Previously, Chief Executive Officer Sirwan Barzani described the measures as illegal and politically motivated.
At the same time, he expressed readiness to resolve the issue through legal channels. Likewise, senior executive Mazen Sirwan Barzani later claimed the company deserved compensation.
He told Rudaw in late May that a Kurdistan Region court decision supports compensation worth $1.7 billion.
The Korek Telecom dispute comes at a sensitive time for Iraq’s telecommunications sector. Recently, Communications Minister Mustafa Sanad revealed plans for a new state-owned mobile operator.
He said authorities intend to present the proposal to parliament within three months. According to Sanad, the project would compete with AsiaCell, Zain, and Korek.
Moreover, he argued that Iraq lacks full sovereignty over its telecommunications industry. Therefore, officials believe a national carrier could strengthen the sector.
As tensions continue, the Korek Telecom dispute could shape the future of Iraq’s communications market and competition among mobile providers.
