As Washington pursues a diplomatic exit from the five‑month‑old Iran war, Tehran is quietly preparing for a far larger, costlier fight. Our Middle East correspondents report that Iran's hard‑liners are rebuilding missile infrastructure and mobilizing forces to widen the conflict against the U.S. and its allies.

The strategic buildup includes expanded missile sites and increased troop deployments, signaling a readiness for a prolonged confrontation. While diplomatic talks continue in the capital, the Iranian leadership appears to be hedging against a possible breakdown, ensuring they can sustain a wider war effort.

Beyond the geopolitical tension, the artificial‑intelligence race harbors a $3 trillion blind spot. A Journal review of disclosures by nine major tech firms, including Alphabet and Amazon, uncovered massive spending commitments for data‑center leases and chips that are not reflected on their balance sheets.

These off‑balance‑sheet expenditures could reshape the sector’s financial landscape, while Washington watches both the diplomatic and military chessboard. The dual tracks—diplomacy and defense preparation—highlight the complexity of de‑escalating a conflict that now threatens broader regional stability.