Apply for an Internet Services Business License in Dubai

Dubai's digital economy is expanding at pace, and Dubai South Business Hub Free Zone offers one of the most streamlined routes to establishing a licensed internet services operation in the region. This guide explains what the Internet Services Business License (Activity Code 6190.98) covers, who it suits, what it costs, and how to secure it at Dubai South.

Key Stats at a Glance

• Activity Code: 6190.98 | Category: ICT | License Type: Business License

• UAE ICT sector contributes approximately 4.3% to national GDP, with targets to reach 8.2% by 2031

• 100% foreign ownership permitted at Dubai South Business Hub Free Zone

• 0% corporate tax on qualifying free zone income

• Typical license issuance: 3 to 7 working days from document submission

• Full profit repatriation with no currency restrictions

• Strategic location adjacent to Al Maktoum International Airport and Expo City Dubai

Dubai's ICT Market and Why Internet Services Belong Here

The UAE's information and communications technology sector is one of the fastest-growing segments of the national economy. The government's UAE Digital Economy Strategy targets doubling the digital economy's contribution to GDP within ten years, creating sustained demand for internet infrastructure, managed connectivity, and value-added digital services across the Emirates.

Dubai South Business Hub Free Zone sits at the heart of this opportunity. Located adjacent to Al Maktoum International Airport and Expo City Dubai, it forms part of a 145-square-kilometre master-planned economic zone designed to support trade, logistics, and knowledge-based industries. Its position makes it particularly well suited to businesses delivering internet and connectivity services to regional clients across the GCC, Africa, and South Asia.

Free zone registration at Dubai South brings significant structural advantages. Investors benefit from 100% foreign ownership, full repatriation of profits and capital, and 0% corporate tax on qualifying income under the UAE's free zone tax regime. Combined with the UAE's advanced fibre and 5G infrastructure, these conditions make Dubai South a compelling base for internet services businesses seeking regional reach.

What the Internet Services License Covers

Activity Code 6190.98 falls within the ICT category and is issued as a Business License by Dubai South Business Hub Free Zone. The license authorises businesses to provide a defined range of internet-related services, including the provision of internet access to end users, resale of bandwidth from licensed carriers, managed connectivity solutions, and associated value-added internet services such as hosting facilitation, virtual private network resale, and internet-based communication platforms.

It is important to understand the boundaries of this license. Activity Code 6190.98 covers reselling, value-added services, and managed service provision. It does not authorise the operation of core telecommunications infrastructure or carrier-grade network facilities. Businesses intending to operate as a primary internet service provider at an infrastructure level, or those offering public telecommunications services, are required to obtain a separate service provider license from the Telecommunications and Digital Government Regulatory Authority (TDRA) in addition to the free zone business license.

For most managed service providers, connectivity resellers, and cloud access businesses, the 6190.98 license combined with appropriate TDRA notification or registration is sufficient to operate legally within the UAE.

Who This License Is Suited To

This license is well matched to a broad range of operators. Internet service providers entering the UAE market as resellers, managed service providers offering enterprise connectivity packages, cloud access and bandwidth resellers, and IT consultancies providing internet-enabled solutions will all find Activity Code 6190.98 appropriate for their scope of work.

Start-ups and SMEs looking to enter the GCC digital services market benefit from the free zone's low entry costs and flexible facility options. International firms seeking a UAE base from which to distribute internet services across the wider region will also find the structure straightforward to establish and maintain.

Costs, Setup Steps, and Licensing Requirements

License and registration fees at Dubai South Business Hub Free Zone vary depending on the package selected, the number of visa allocations required, and the type of workspace chosen. Indicative costs for a standard business license with a flexi-desk arrangement and one visa allocation typically begin from approximately AED 12,000 to AED 20,000 per year. Dedicated office space attracts higher fees depending on size. Applicants should request a current fee schedule directly from Dubai South or an authorised registration agent, as pricing is subject to periodic revision.

The setup process follows a clear sequence:

• Reserve your company name and confirm activity code 6190.98 is included in your license application

• Submit required documents, including passport copies for all shareholders and directors, a completed application form, and a business plan where requested

• Select your facility option (flexi-desk, serviced office, or dedicated unit)

• Pay the applicable license and registration fees

• Receive your Business License, typically within 3 to 7 working days

• Proceed with visa applications, corporate bank account opening, and TDRA registration as required

A No Objection Certificate (NOC) may be required if any shareholder is currently employed or licensed in the UAE under a different entity.

Compliance and Ongoing Obligations

License holders must renew annually and settle renewal fees before the expiry date to avoid penalties or license suspension. Businesses generating revenue above the AED 375,000 threshold are required to register with the Federal Tax Authority for UAE corporate tax purposes. Those exceeding the VAT registration threshold of AED 375,000 in taxable supplies must also register for VAT.

Internet services businesses operating in the UAE are subject to data protection obligations under Federal Decree-Law No. 45 of 2021 on Personal Data Protection, as well as cybersecurity requirements under the UAE Cybersecurity Law. TDRA regulatory compliance applies to the delivery of any internet or telecommunications-adjacent services to end users within the UAE.

Commercial Opportunity and Profit Potential

The margin profile for internet service resellers and managed connectivity providers in the UAE is generally favourable. Resellers of bandwidth and managed internet services typically operate on gross margins of 20% to 45%, depending on the volume of throughput, the value-added layer of the service offering, and the client segment served. Enterprise-focused managed service providers with long-term contracts tend to achieve more stable and higher margins than commodity resellers.

Cross-border and re-export of services is permitted from Dubai South Free Zone, allowing license holders to serve clients located outside the UAE without restriction. This is a significant commercial advantage for businesses targeting the broader GCC market, East Africa, and South Asia, all of which face growing demand for reliable managed connectivity and cloud access services.

Dubai South's integrated logistics and business ecosystem provides additional growth levers. Proximity to one of the world's largest airport cargo hubs, an established community of technology and trade businesses, and direct access to major road and air freight networks support the scaling of digital service businesses operating from the free zone.

Get Started

• Use the cost calculator for a tailored quote.

• Verify your business name with the company name check.

• Browse the full business activities directory.

• Get in touch to start your application.