Israel is the size of Delaware or Wales, while the Islamic world covers about a quarter of the Earth. Israel needs a deterrent the same as the USA, UK, France, Russia and China, who are all quite a lot larger than Israel. With Iran about to produce atomic bombs, it would be insane for Israel to scrap her deterrent.
Law expanding definition of terrorist activity passes first Knesset reading (Haaretz)
from the article: UN Security Council permanent members back nuclear-free Mideast