Not nearly as compelling as Poopmissle

Or the dreaded curry missle.

OH NOES ARABS WIF UNDERWATER MISSILES!!!

what if the mice on the treadmill inside it die?

That's just great, they have spent their money and manpower on a missile- just who do they plan firing it at...if they try using it on any modern navy's subs they will find their country becomes a smoking hole in the ground-(perhaps they could try one on the Israeli Navy to find out if they have nukes or not), the oil is underground anyways. What they really need to spend some time and money doing is making an ipod killer and a rival for itunes-definately more of a future in it- or more seriously spend it on medical research and win a Nobel prize for something- no prizes for fast torpedos just a world of shit and piles of smoking corpses if they fire at at anyone who can fight back.

^^^ Well unfortunately for them the Arabian Ditch is too shallow for REAL submarines (read: US Fast Attacks and Boomers).

I am positive that the 5th Fleet is well aware of this threat and probably has been for some time, and thus have already established countermeasures for this weapon. So I can only imagine the deployment of this weapon against someone who can shoot back (i.e. The US Navy) will only end in tears for Iran.

This is probably nothing more than a re-named soviet weapon, and thus the quality is questionable at best. The ex-CIS/Soviet weapons were known for being big and scary looking with completely over the top specifications on paper. In reality they were cheaply made in bulk with the idea of 'if I throw enough weaponry down range, something will hit.'
Whereas the US weapons focus more on 'one shot - one kill'