"I don't believe there is a military solution to the issue" at this time, ElBaradei said in Oslo where he is to receive the Nobel Peace Prize on Saturday.
"I think that a military solution would be completely counterproductive," he said, pointing out that diplomacy and cooperation tend to give "better results than the stick".
The International Atomic Energy Agency and its director have been instrumental in thorny nuclear negotiations with Iran, threatening to take the country before the UN Security Council for violating nuclear non-proliferation rules.
Israeli Defence Minister Shaul Mofaz said earlier Friday that while diplomatic channels remained the best way to deal with the Iran issue, "it is necessary to also prepare the other means."
Israel has repeatedly said it will prevent Iran from acquiring nuclear weapons by whatever means necessary.
On Friday, ElBaradei reiterated that "the international community is losing patience" with Iran, but pointed out that "the window of opportunity (for finding a diplomatic solution to the problem) is still open".
"But this window won't stay open forever," he said, adding that "the next couple of months are going to be very crucial."