Iceland is going back to their National Final format, Söngvakeppnin. The deadline for submissions is 6 Octomber and ten songs will compete in the Selection, all the songs for the National Final are supposed to come out in Januray and the Final is set to be in February.
The rules for the submission can be found here.

Last year Iceland was represented by Daði og Gagnamagnið with the song “10 Years” and finished 4th in the Grand Final. Daði og Gagnamagnið were internally selected by RÚV last year, but they did won Söngvakeppnin 2020 with “Think About Thinks”, which is still a big hit for Iceland.