Azerbaijan maintains a telecommunications regulatory body known as the Information Communication Technologies Agency (ICTA), which is responsible for certification, registration, regulation and oversight, including quality control, within the domains of information and communication technologies and communications (telecommunications and postal services). However, the decision-making processes of this entity are not independent of governmental influence. Pursuant to Sections 2 and 3 of the Presidential Decree of the Republic of Azerbaijan entitled “On Certain Measures to Improve Governance in the Field of Digitalisation, Innovation, High Technologies and Communications in the Republic of Azerbaijan”, dated 11 October 2021, ICTA was established as a public legal entity under the authority of the Ministry of Digital Development and Transport.

According to Section 4.10.2.5 of Decision No. 14/2 of 28 March 2024, approving the "Requirements for Ensuring Information Security in Entities Whose Activities Are Controlled in Financial Markets", where cloud services are used, sensitive information owned by a supervised entity must be stored solely within the Republic of Azerbaijan.
Section 2.1.9 defines “sensitive information” as information that must be protected against unauthorised processing, including access, modification, or disclosure, due to its potential adverse impact on individuals, legal entities, or national security. This includes, inter alia, sensitive payment information, personal data, state secrets, commercial secrets, banking secrets, insurance secrets, and other confidential information.
This requirement applies to a broad range of supervised entities, including banks, non-bank credit institutions, insurers, securities market licensees, investment funds and managers, the national postal operator, payment institutions, electronic money institutions, payment system operators, credit bureaus, and the central depository, among others (Sections 1.1–1.3).

According to Section 4.12.4 of Decision No. 14/2 of 28 March 2024, approving the "Requirements for Ensuring Information Security in Entities Whose Activities Are Controlled in Financial Markets", supervised entities must have two information processing centres, one main centre and one backup centre, located in non-adjacent economic regions of the Republic of Azerbaijan.
This requirement does not apply to all supervised entities covered by the Decision. Sections 1.4 and 1.5 exclude Category II and Category III supervised entities from Sections 4.12–4.16. Therefore, Section 4.12.4 applies only to Category I supervised entities, including banks, insurers, the central depository, the Compulsory Insurance Bureau, credit bureaus, electronic money institutions, and payment system operators (Sections 1.1–1.5).

Pursuant to Art. 14 of the Law on Personal Data, the cross-border transfer of personal data is prohibited under the following circumstances: (i) where such transfer poses a threat to the national security of the Republic of Azerbaijan; and (ii) where the legal framework of the recipient country fails to provide an adequate level of protection for personal data comparable to that afforded under Azerbaijani law. Nevertheless, the cross-border transfer of personal data may be permitted irrespective of the level of legal protection, provided that the data subject has given explicit consent or that the transfer is necessary to safeguard the life or health of the data subject.

Art. 18 of the Law on Patents stipulates that, in order to safeguard national security interests, the competent executive authority may authorise the use of a patent relating to an invention, utility model, or industrial design without the consent of the patent holder. In such circumstances, the patent holder is entitled to receive appropriate compensation. Should the patent holder dispute the amount of compensation awarded, they may challenge the decision through administrative procedures or in court.

Azerbaijan has not joined any agreement with binding commitments to open transfers of data across borders.

Azerbaijan is a party to the Patent Cooperation Treaty (PCT).

The Law on Personal Data establishes a comprehensive framework for data protection in Azerbaijan. The Ministry of Transport, Communications and High Technologies serves as the regulatory authority under the Law, empowered to conduct investigations and implement measures, although reports suggest that its enforcement activity has been limited. The Law is further supplemented by several decrees, including the "Requirements for the Protection of Personal Data" and the "Regulations on the Transmission of Personal Data Collected and Processed at Corporate Information Systems to Third Parties on a Fee Basis".

Azerbaijan’s copyright framework is established under Law No. 115‑IQ; however, the statutory exceptions it provides do not conform to the fair use or fair dealing models, thereby limiting the lawful use of copyrighted works by third parties. The relevant exceptions are dispersed across various provisions of the Law, including Art. 18, which concerns the reprographic reproduction of works by libraries, archives, and educational institutions; Art. 19, which regulates the use of works for informational, scientific, educational, and other related purposes; Art. 20, which provides for the use of works permanently located in public spaces; Art. 23, which pertains to ephemeral, short‑term recordings made by broadcasting organisations; and Art. 24, which addresses the reproduction of computer software and databases, as well as the decompilation of computer programs.

It is reported that copyright enforcement remains a significant issue in Azerbaijan, particularly in the digital environment. Although Azerbaijani law provides copyright protection, unlicensed software use remains widespread in both the private and public sectors. In 2022, the Copyright Agency of Azerbaijan reported a software piracy rate of 71%.

Azerbaijan has adopted the World Intellectual Property Organization (WIPO) Copyright Treaty.

Azerbaijan is not a signatory of the 1996 World Trade Organization (WTO) Information Technology Agreement (ITA) nor the 2015 expansion (ITA II). In fact, the country is an observer and not a full member of the WTO.

Art. 33.13 of the Law on Public Procurement provides that, when evaluating bids, the procurement commission must apply a procurement preference of up to 20% in favour of bids offering procurement items of local origin. The application of this preference must be recorded in the final protocol. The preference also applies to goods produced at any stage within the territory of the Republic of Azerbaijan.
The implementing instrument is the Cabinet of Ministers Decision No. 495 of 30 December 2023, which approves the Rules on the Application of the Procurement Preference and has been in force since 1 January 2024. Under Sections 1.2–1.3, the preference operates as an evaluation adjustment of up to 20% in favour of local goods, works, or services. For goods, Section 2.4 requires local raw materials/materials and local labour to account for more than 50% of the value of the good to qualify as local. For services, Section 3.2 requires the value of local goods used and wages payable to Azerbaijani citizens to exceed 50%.

Art. 48 of the Law on Public Procurement provides that the contracting authority may employ the request‑for‑quotations procedure for the procurement of items that have an existing and readily accessible market. Depending on the estimated contract value, this procedure must be conducted among specific supplier categories, and only their bids may be considered. Where the estimated value does not exceed 30,000 manats (approx. USD 17.600), participation is limited to suppliers classified as micro or small business entities. Where the estimated value ranges from 30,000 to 100,000 manats (approx. USD 58.800), suppliers classified as micro, small, or medium‑sized business entities may participate.