Yes diplomacy has failed in the Israel and Iran talks. The main reason is that Iran do not intend to abandon any of its nuclear programs. Iran is stating that as a country they have a right to access nuclear plants and they have done nothing to acquire nuclear weapons. Also it accuses the west of politicizing its nuclear activities

Yes they are determine to develop Nuclear facilities on their soil and averting production from a third country. American,France,Britain and United Nations revealed that the Iranian government had built a new facility near the holy city of Qum.

Yes it has caused a diplomacy breakdown. America is working on tougher sanctions which could retard investments in the countries oil and gas industry.These sanctions would have a negative affect on the countries banks.

For more detail information you can read these pages here are the links to the sites

http://www.nytimes.com/2009/09/30/world/middleeast/30tehran.html

http://www.nytimes.com/2009/09/30/world/middleeast/30tehran.html

http://en.wikipedia.org/wiki/Nuclear_program_of_Iran#2007.E2.80.93present
Source(s):
http://www.nytimes.com/2009/09/30/world/middleeast/30tehran.html

http://www.nytimes.com/2009/09/30/world/middleeast/30tehran.html

http://en.wikipedia.org/wiki/Nuclear_program_of_Iran#2007.E2.80.93present

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