Few events involving the Middle East have been analysed, examined in their multiple facets, causes and effects as the Iranian revolution. The numerous and, in many cases, remarkable studies that have been trying to explain the unexpected collapse of the Pahlavi regime should not, however, discourage from addressing the issue, rather than induce to consider other perspectives, widening the range of actors and interests involved. This is one of the purposes of the present study, which takes into consideration Western European dealing with the Iranian Revolution and its immediate aftermath, with particular attention to the impact that the hostage crisis and the outbreak of hostilities with Iraq had on European policy towards Teheran. In doing so, the analysis will try to emphasise the different responses the countries under analysis, especially France, Italy, and United Kingdom, produced in reaction to these events. In the aftermath of the revolution of 1979, though eager to protect their substantial financial investments in Iran, most of them acquiesced in the American position to demonstrate transatlantic solidarity. Nonetheless this initial cohesion among the Western countries showed signs of divergences, above all with regard to the commercial restrictions to be imposed to the new regime. Drawing on Western European official papers, the sources located in some Italian and French private archives, oral histories and interviews, the paper will, therefore, try to explore the main fields in which these divergences emerged and their relevance, both on the U.S.-Europe front as on the intra-European one. The paper will finally explore the role played by the evolution of Iranian domestic scenario in the reshaping of the country’s foreign relations, in a moment of profound debate on the country’s revolutionary identity and on Teheran’s engagement with the outside (especially Western) world.