On the one hand, if we don't conduct research and weapons development on miniature/low-yield nuclear weapons then someone else will. The end result of this type of research will be nuclear mortar shells--a two-man team launching 1-ton-yeild shells. They would try nuclear hand grenades, but no one could throw them far enough to escape the blast.
On the other hand, this is a genie I don't think they really want to let out of the bottle. Gone are the days of "bigger is better"; it appears as if "smaller is smarter" is the new rule of the day. 
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Everything may be explained by a conspiracy theory. All conspiracy theories are true.
No matter how thinly you slice it, it's still bologna.
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