Technological developments in recent decades and the emergence of a global data-driven ecosystem have fundamentally challenged traditional concepts of sovereignty and state jurisdiction. In this context, data has become one of the most significant sources of power, security, and governance, and its control, management, and transfer have turned into a strategic issue in international relations.This study aims to examine the legal challenges of data sovereignty and jurisdictional conflicts of states in cyberspace. It seeks to clarify the position of data sovereignty in contemporary international law, analyze the extraterritorial effects of data flows on state jurisdiction, and assess the capacity of the Iranian legal system to respond to these developments. The research adopts a descriptive–analytical method, relying on library-based sources, international instruments, academic articles, and Persian and English legal literature.The findings indicate that the expansion of cyberspace has gradually weakened the effectiveness of traditional territorial jurisdiction models and has increased conflicts among states regarding access to, control over, and exploitation of data. Furthermore, the emergence of transnational actors and decentralized digital infrastructures has imposed new limitations on the exercise of state authority. The study concludes that effective management of jurisdictional conflicts in cyberspace requires a rethinking of traditional jurisdictional foundations, the development of international cooperation mechanisms, and the design of a balanced data governance model. Accordingly, the ideal model should simultaneously safeguard national sovereignty and ensure cross-border cooperation, cybersecurity, and the protection of fundamental human rights.