The president denounced the film, "Innoncence of Muslims," that portrays the Prophet Mohammed as a womanizer, child molester and killer. The online video has led to a wave of global unrest.
"Fundamentally, first of all, any action that is provocative, offends the religious thoughts and feelings of any people, we condemn," Ahmadinejad said.
"Likewise, we condemn any type of extremism. Of course, what took place was ugly. Offending the Holy Prophet is quite ugly. This has very little or nothing to do with freedom and freedom of speech. This is the weakness of and the abuse of freedom, and in many places it is a crime. It shouldn't take place, and I do hope the day will come in which politicians will not seek to offend those whom others hold holy," Ahmadinejad said.
"We also believe that this must also be resolved in a humane atmosphere, in a participatory environment, and we do not like anyone losing their lives or being killed for any reason, anywhere in the world."
When asked by Morgan whether he thought protesters should stop threatening U.S. staff abroad, Ahmadinejad said he cannot say what other people or nations should do, but that he believes "extremism gives birth to following and subsequent extremists."
"Perhaps if the politicians take a better position in the West vis-a-vis offensive words or thoughts or pictures towards what we hold holy, I think conditions will improve," the president said.
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