Tony does understand, better than Gene knows. He's just not as willing as Gene is to accept Gene's death as a solution.

"Then don't give up," Tony says firmly.

And then, bracing himself with a deep breath, he takes another huge risk, and dismisses the armor.

When it's folded away into the backpack again, he holds out his hand, offering it to Gene.

"Come on. Let's kick this thing's ass together."