Iran may want to get serious with Israel, but it also faces significant security dilemmas from its so-called "Muslim friends". Turkey and Azerbaijan threatens Iran's North Western borders and the northern trade routes. Not too long ago, Azerbaijan and Iran nearly came to blows over disputes with the trade routes passing through Azeri territories. To its East, there are the terrorist infested hinterlands that Iran has continuously failed to coordinate with Pakistan and Afghanistan to deal with. Why? Only the three of them knows. Across the Persian Gulf, are the Gulf states reliable when war comes to Iran? Qatar still hosts the largest US airbase in the Middile East: the Al Udeid Air Base. When the US and Israel wants to wage war on Iran, is Qatar gonna deny them from launching air raids from its soil? Or is Qatar gonna bends over backwards to the US and Israel like the good dog it always is? And if Iran strikes the Al Udied Air Base, who is Qatar really gonna side with?Iran deescalated by bombing Israel last time after Israel bombed an Iranian embassy.
Then Israel did nothing, until now. Which we must assume is their retaliation for the past bombing. So Iran will have to escalate again.
The reason they waited so long is that they need to be 110% sure US will help them attack Iran. But this should be a severe miscalculation. If US could focus all of their forces on Iran, they would be able help Israel win. However, US cannot do anywhere near that, and Iran will also recieve foreign support.
On the economic front, Iran is sending mixed messages to China. It signed a BRI deal with China but has not proposed transport corridor projects for China to invest in yet. China's investments in Iran is mainly focused on O&G development. Iran is also pushing ahead with India's project to build the North-South Transport Corridor to transport shipments from India through Iran to Azerbajan, and finally to Russia. How much trade can India ship through Iran compared to China? If Iran cannot seriously deepen its economic ties with China, how is it gonna move its economy forwards and become a more formidable military power?