The expanded Houthi threat to the region challenges the current US policy framework. US policymakers have understood the Houthi problem either as an endemic outgrowth of the conflict in Yemen or as driven by Iran. Instead, the Houthis perceive themselves as a Yemeni Islamist movement partnering with Iran in a broader regional struggle against the status quo. The Houthis’ incorporation into the Iranian-led informal Axis of Resistance alliance has altered the security dynamics in the Middle East.