Defense Secretary Gates said Tehran was not close to having a bomb. A new report in which senior advisers to Obama participated urges further sanctions.
The claim by Al Qaeda in the Islamic Maghreb that it holds hostages kidnapped more than a month ago fuels fears that the group is expanding its reach.
Despite Langerado's cancellation last week, festival organizers remain bullish.
The US helped plan the operation, which subsequently killed up to 900 people.
As Obama spells out aims to engage with Iran, the Islamic Republic debates whether to step away from decades of hatred for the 'Great Satan.'