Iceland was represented by Birgitta Haukdal, with the song '"Open Your Heart", at the 2003 Eurovision Song Contest, which took place on 24 May in Riga, Latvia. "Open Your Heart" was chosen as the Icelandic entry at the national final Söngvakeppni Sjónvarpsins on 15 February. Iceland returned to Eurovision following an enforced one-year absence due to relegation after a last-place finish in 2001.

The national final was organised by broadcaster RÚV and held at the Háskólabió in Reykjavík, hosted by Logi Bergmann Eiðsson and Gísli Marteinn Baldursson (also narrator of the actual contest). 15 songs took part with the winner being chosen by televoting. Haukdal's winning song was performed in Icelandic as "Segðu mér allt". Only the top 3 placements and votes were announced, but later unconfirmed reports suggested that Ragnheiður Eiríksdóttir had finished fourth and Ingunn Gylfadóttir last.

On the night of the final Haukdal performed first in the running order, preceding Austria. At the close of voting "Open Your Heart" had received 81 points (including maximum 12s from Malta and Norway), placing Iceland joint 8th (with Spain) of the 26 entries. The 12 points from the Icelandic televote were awarded to Norway.

Haukdal's top 10 finish meant that Iceland was given one of the automatic qualifying slots for the 2004 final.

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