Unless some secret deal was done that has not been reported, this hostage crisis was a long way from being a victory for the Iranian regime. The Iranian regime was forced to release the hostages after first threatening to put them on trial. The sudden decision to release instead of prosecuting them followed Prime Minister Blair's threat to "toughen" Britain's policy if no progress was made in the next "forty eight hours". The release came before the deadline expired. The moral of the story is that the USA and its allies have more than enough power to compel the Iranian regime to see sense, give up its support for terrorism and end its pursuit of nuclear weapons.
Alleged Jerusalem gay pride parade stabber brought before judge for remand hearing (Haaretz)
from the article: Iran challenges Bush