Iran's innovation space collapsing under pressure, tech leaders warn
The office of Iran's leading tech company, Divar, in Tehran
A group of leading Iranian tech entrepreneurs has warned President Masoud Pezeshkian that mounting state interference has left emigration the only remaining option for technology firms trying to survive.
A document obtained by the Daily Mail lists more than 10,000 individuals from Iran, Syria and Lebanon who were allegedly granted Venezuelan passports, raising concerns over potential infiltration into the United States.
According to the report published Thursday, the list includes names, passport numbers, birth dates and other identifying information for people who would not ordinarily qualify for Venezuelan citizenship. The document covers passports issued between 2010 and 2019 and was compiled by a former Venezuelan official whose identity was not disclosed.
The Daily Mail said the source worked in Venezuela’s internal investigations branch and that his position was confirmed by former US ambassador to Venezuela James Story. The official gave the list to US authorities earlier this year. The Department of Homeland Security did not confirm whether it had received the document and declined to say if it was tracking individuals listed.
Report points to Iran-Venezuela links
The Daily Mail report suggests the alleged scheme may have operated with help from Venezuelan government officials during the presidency of Nicolás Maduro.It also highlights long-standing ties between Tehran and Caracas, including political and security cooperation.
Former US officials cited in the report expressed concern that Iranian-linked individuals may have used the documents to enter South America legally, and later crossed into the United States illegally. The report ties the passport operation to past US findings that Venezuelan travel documents were vulnerable to misuse.
Former officials cite terrorism risk
Jonathan Gilliam, a former FBI agent and counterterrorism analyst, told the Daily Mail that the risk of attacks inside the United States is high following the US airstrikes on Iranian nuclear sites in June. “They get people here, get them in place, and get them supplied and ready to go,” he said.
Thor Halvorssen, a former Venezuelan ambassador for anti-narcotic affairs, said some of the passport recipients may already be inside the United States and integrated into daily life. He said that some might hold jobs in sensitive sectors, but that their identities are difficult to verify. “They are everywhere,” he said.
The document reportedly includes more than 10,000 names, with about two-thirds listed as male.
Diplomatic missions under scrutiny
Halvorssen and others said many of the passports were signed or approved by Ghazi Nasr Al-Din, a former Venezuelan diplomat who served in Syria and was later placed on the FBI’s terror watchlist. In a 2015 notice, the FBI accused him of supporting Hezbollah travel and fundraising efforts.
The Venezuelan Embassy in Damascus denied wrongdoing in a statement to the Daily Mail. “These accusations are false,” the statement said. “Venezuela is a country and a territory of peace and love.”
A 2006 US State Department report warned that Venezuelan travel and identification documents were easy to obtain by individuals not entitled to them, during Hugo Chávez’s presidency.
US Customs and Border Protection reported that more than 380,000 Venezuelan nationals crossed the US-Mexico border between January 2021 and October 2023. In the same period, authorities recorded 382 encounters with individuals on the FBI terror watchlist and 1,504 Iranian nationals, according to the report.
President Donald Trump on Wednesday described Iran as “a very evil place” and said he believes the situation will look very different in the coming years, citing US efforts to cripple Tehran’s nuclear program to prevent wars across the Middle East.
“Iran was the perpetrator of hate, a very evil place. And I think it’s going to be a lot different in the coming years,” Trump said in a press conference, pointing to what he called Iran’s role in spreading violence and instability across the region.
Trump warns Iran not to restart nuclear program
“We have stopped wars in the Middle East by stopping Iran from having a nuclear weapon,” Trump said. “They can say they’re going to start all over again. But that’s a very dangerous thing for them to do, because we’ll be back as soon as they start. We’ll be back. And I think they understand that.”
“They’re just words,” Trump said of Iran’s recent threats. “But no, we’ve stopped a lot of wars in the Middle East. If you think about what we did with Iran... I think it’s going to be a lot different in the coming years.”
Trump says Iran’s nuclear sites were obliterated
Trump's comments come weeks after a 12-day war in June between Iran and Israel, during which the United States carried out coordinated strikes on Iranian nuclear facilities at Isfahan, Natanz and Fordow. The attacks destroyed critical infrastructure and killed several senior military and scientific figures, as well as hundreds of civilians. Iran responded with missile strikes that killed at least 27 Israeli civilians.
IAEA inspectors left the country after the conflict, citing safety concerns. The International Atomic Energy Agency has faced criticism from Tehran for not condemning the airstrikes, which Iranian officials called illegal under international law.
“If the agency wants to visit our sites, they’ve been bombed,” Iranian Foreign Minister Abbas Araghchi said Wednesday in an interview with state television. “Tell us—how do you expect to inspect a bombed nuclear facility?”
Iran rejects inspections, limits cooperation with UN
Araghchi said Iran had invited a senior IAEA official to Tehran for discussions but stressed that no inspections would take place. “He’s not coming for inspections or evaluations—we have not allowed and will not allow that,” he said.
He also confirmed that Iran’s parliament passed a law requiring all cooperation with the UN nuclear watchdog to be cleared by the Supreme National Security Council, further tightening oversight of foreign access.
France, Germany and the United Kingdom have urged Iran to resume full cooperation with the IAEA. While some Iranian officials have signaled openness to talks, no dates have been announced.
A young woman in a loosely draped hijab, strands of hair framing her face, flashes a peace sign while holding a photo of a slain Revolutionary Guard commander.
The improbable image fills the front page of hardline daily Vatan-e Emrooz, presented as part of the Islamic Republic’s “new generation of resistance.”
But analysts told Iran International it is less a reflection of reality than a carefully crafted narrative aimed at shoring up support for Tehran after its 12-day war with Israel — the worst direct military confrontation in their fraught history.
The war left hundreds of civilians dead, damaged infrastructure and deepened economic strain. In its aftermath, the Iranian establishment has worked to project resilience and unity, even among citizens who defy its strict social codes.
The Vatan-e Emrooz cover accompanied a story built around a Foreign Policy article by an Iranian-American academic which argued that some young Iranians are rallying behind Tehran’s anti-West, anti-Israel stance in the war’s aftermath.
Following the bruising conflict, Tehran embraced nationalist symbols it long suppressed, with mythological tales and ancient monarchs adorning public billboards.
For author Arash Azizi, whose book What Iranians Want: Woman, Life, Freedom examines political and social change, this type of imagery is part of a familiar playbook.
Referring to a domestic militia and Iran's Islamic Revolutionary Guard Corps, he described Vatan-e Emrooz as “a hardliner outlet, traditionally close to the Basij, which is a section of the IRGC … known for a very sensational sort of tabloid-style headlines.”
The paper, he added, has long featured stylish young who appear supportive of the establishment to imply that “even sections of the population that flout the hijab rules … nevertheless supports its foreign and military policies.”
Holly Dagres, a senior fellow at the Washington Institute for Near East Policy, studies Iran’s younger generations and regularly tracks Gen Z and Gen Alpha trends.
She said that while this visual contrast between appearance and ideology is not new—women without hijab have backed hardliners, and chador-wearing women have voted reformist—the cover is nonetheless a strategic push.
“It’s for the regime to make a point, especially at a time when it has historically high anti‑regime sentiment, that ... we have the support of these individuals too that don’t usually fit the stereotypical box of what a good Islamic citizen in our view is," Dagres told Iran International.
No gesture by chance
Visual communication expert Siavash Rokni, who holds a PhD in communication and researcher in popular music at McGill University, sees deliberate messaging in the picture’s design: the woman’s ear “out of her scarf,” the bright blue clothes “evoking kind of happiness and rejuvenation and the future,” and her phone with a peace sign “as kind of the representation of Gen Z.”
Rokni also points to the way she holds her phone — not in a natural texting or scrolling posture, but almost like a prop, gripped sideways with fingers loosely wrapped around it. The position, he suggests, looks staged.
It’s an example of what Rokni calls the Islamic Republic’s turn to “soft war”—countering Western “soft power” via curated cultural imagery. The same effect is visible, he added, in rap lyrics and music videos where some artists are either funded or influenced by the IRGC to echo establishment talking points, while others openly align themselves with them.
Gen Z beyond reach?
Activist Tara Dachek, part of Iran’s Gen Z and now living abroad, sees the image as a sign of weakness, not strength. “The Islamic Republic is drowning — these are its last desperate gasps,” she told Iran International. Such visuals, she says, reflect “fear, repetition and desperation” rather than genuine engagement.
Having left Iran six years ago, Dachek believes the cover only affirms that her “generation is on the right path — the regime has already lost us.”
"Even back then, I didn’t trust state media. I never followed their news because I knew it wasn’t truth — it was survival wrapped in a lie," said Dachek.
Among younger Iranians, the dissatisfaction runs deep.
Surveys show that nearly 75% of Iranians—including many Gen Z individuals—opposed mandatory hijab, with 84% favoring a secular state over the Islamic Republic, according to GAMAAN — a Netherlands-based research organization that conducts large-scale online surveys of Iranians.
Gen Z, who wasn't yet born at the time of the 1979 revolution, frequently expresses opposition to both political Islam and compulsory dress codes while embracing global cultural values.
Despite Tehran’s efforts to project unity, young Iranians may not be as passive or easily swayed as officialdom believes. Shaped by years of protest and repression, they remain among the most vocal critics of the Islamic Republic.
Iran’s Revolutionary Guards intervened this spring to block a leading tech firm’s stock market debut, The Washington Post on Wednesday, in a sign of the sprawling military organization's grip over the ailing economy.
The company, Divar, is one of the most prominent firms to emerge from Iran’s start-up sector in the past decade. Its CEO took the rare step of publishing online a letter indicating the Revolutionary Guards' disapproval of its listing under his leadership.
Offering online classified ads similar to Craigslist, Divar enables Iranians to buy and sell secondhand goods and find and rent homes.
It has about 38 million active users, or nearly half the country’s population, according to a 2023 report from a Swedish investment firm with indirect shares in the company.
But its efforts to go public on the Tehran Stock Exchange were halted after the Guards objected to the presence of Divar’s founder and CEO, Hessam Mir Armandehi.
Late last month, Armandehi published a copy of the internal order on LinkedIn. “It is hereby brought to your attention that the Intelligence Organization of the Guards … has declared Mr. Hessam Mir Armandehi’s lack of qualification, and consequently, the company’s acceptance is contingent upon his absence,” the June 10 letter read. According to the document, the order had been issued on April 27.
Divar is reportedly highly profitable, according to four people familiar with the company who spoke to the Washington Post on condition of anonymity. A consortium of foreign investors, including Europeans, holds 15 percent of the shares of its parent company, according to its website. The consortium and the Swedish firm declined to comment.
The post was seen as a rare act of defiance in what The Washington Post called a secretive, authoritarian system.
Dozens of Iranian executives shared Armandehi’s post and wrote messages of support. “I wish we had a good and responsible government that appreciated great and capable entrepreneurs and start-ups,” one wrote. Another added, “Exactly for this reason it is impossible to grow in Iran!!”
Divar has previously clashed with security institutions. The company has refused to turn over private user data and resisted pressure to sell shares to entities linked to the state.
One person familiar with the company said Divar was also pressured to sell to a firm partly owned by a conglomerate close to Supreme Leader Ali Khamenei, who holds ultimate authority over the Guards.
In one past case, Armandehi’s cousin and fellow executive Ashkan Armandehi was briefly detained after refusing to hand over user data.
He later told Iranian media the company would not comply with blanket requests. “Providing information about ads and users without a court order is illegal,” he said.
Iran’s Revolutionary Guards are widely known to hold major shares in oil, telecom, and construction. But the Divar case has exposed the Guards’ expanding informal control over digital companies they do not legally own, the article said.
“If a founder doesn’t have the right to stay in their own company, no investor will confidently invest in the digital economy,” Iran’s Deputy ICT Minister Ehsan Chitsaz wrote on X. “The stock market is a tool for corporate governance and transparency, not a tool for the arbitrary elimination of individuals or managerial coercion.”
The pressure Armandehi described has further deepened the private sector’s challenges by eroding fair competition and undermining Iran’s efforts to attract foreign capital, experts told The Washington Post.
“This leads to lower investment, of course, and it leads to capital flight not only from investors in Divar but also in many other digital companies, many other companies that are private,” said Mahdi Ghodsi, an economist at the Vienna Institute for International Economic Studies. “If they continue these kinds of policies, they are helping the collapse of the Islamic Republic.”
Despite the threats, Armandehi said he is staying. “Even now with all these pressures, I’ve neither lost hope nor have any plans for emigrating or leaving Divar,” he wrote.
Iran’s judiciary said on Wednesday it had executed a man convicted of membership in the Islamic State militant group and plotting attacks inside the country, the judiciary’s Mizan news agency reported.
Mizan identified the man as Mehdi Asgharzadeh, also known by the aliases Abu Khaled and Hesam, and said he had received military training in Syria and Iraq before attempting to enter Iran with a five-member team from Iraq through the western highlands.
The report said Asgharzadeh planned to recruit members and carry out “sabotage and terrorist operations” in Iran, including grenade attacks in crowded religious sites followed by suicide bombings.
According to the judiciary, he was arrested after security forces attacked the group’s hideout before the operation could take place. His alleged accomplices were killed in the raid.
He was convicted of “corruption on earth” through collaboration with Islamic State and actions against public security.
Mizan did not specify when he was arrested or provide details of his trial, but said the sentence was upheld by the Supreme Court and carried out on Wednesday morning.
Human rights groups say Iran has sharply increased the pace of executions in recent months. The Abdorrahman Boroumand Center, a Washington-based rights group, said earlier in the month that at least 730 people have been executed in Iran since the start of 2025.
Rights monitors have repeatedly accused Iran of conducting trials that fall far short of international standards and extracting confessions under torture, a charge the Islamic Republic denies.
UN High Commissioner for Human Rights Volker Türk last week condemned Iran’s execution of hundreds of people “behind closed doors” and called for an immediate moratorium on the death penalty.
“Some security agencies, through official letters, have prohibited government institutions from cooperating with the country’s major startups. This trend has continued with the sealing of central offices of certain companies, revocation of licenses, arrest of investors and executives, forced exit of shareholders and investors, and prevention of platforms from entering the stock market,” the letter said.
In the letter signed by the founders of Iran's largest e-commerce platform Digikala, travel agency Alibaba, streaming service Filimo, Android App Store Cafe Bazaar, and classifieds platform Divar, the group accused security bodies of executing a systematic effort to subdue and dominate the startup ecosystem and warned of the sector's imminent collapse.
They wrote that increasing political pressure has extinguished motivation among young professionals and forced a shift toward mass organizational migration.
“Now, today, we witness an unprecedented move: the same forces have issued an order to halt the operations and remove the founder of one of the major local platforms. The result of this process is the shutdown of one of the most exceptional innovation ecosystems in Iran’s history…. We are losing our human capital, financial investments, and the motivation of the new generation.”
The letter was referring to the removal of Divar’s founder, which the authors called an “extraordinary sign of security institutions asserting full control over the private sector.” They said the process had moved from interference to outright takeover.
IRGC officials informed regulators that the company’s IPO could proceed only if founder and CEO Hessam Mir Armandehi was removed—an instruction Armandehi later published in full.
The Washington Post on Wednesday reported that the Islamic Revolutionary Guards’ Corp (IRGC) intelligence wing intervened this spring to block Divar’s stock market listing.
The move came after the company’s refusal to hand over user data or sell shares to firms tied to Supreme Leader Ali Khamenei’s economic network, according to the report.
“This leads to lower investment, of course, and it leads to capital flight not only from investors in Divar but also in many other digital companies,” Mahdi Ghodsi, an economist at the Vienna Institute for International Economic Studies, told The Washington Post.
“If they continue these kinds of policies, they are helping the collapse of the Islamic Republic.”
In their letter, the tech founders warned that countries such as the UAE and Saudi Arabia are actively recruiting Iran’s skilled workers and positioning themselves as regional centers of innovation. Iran, they wrote, is forfeiting its greatest asset: its people.
They urged Pezeshkian to end the securitization of the sector and restore trust before the remaining foundations of Iran’s innovation economy fall away.