So, Its About The Settlements After All.
Security, Jerusalem, The Right of Return - Just Excuses.
According to the just leaked documents from 10 years of Israel Palestinian negotiations (you can read an account at Haaretz, but also check out the Guardian and Al Jazeera, or just google "leaks Israel Palestine") the PA negotiators were willing, in 2008, to give up all Jewish neighborhoods in East Jerusalem (excluding one - the distant and relatively new Har Homa.) They where willing to give up about half the old city - including the Armenian and Jewish quarters. They where willing to put the Temple Mount/Haram al Sharif) under joint administration. They where willing to limit the number of Palestinian refugees who would return to 10,000 a year for 10 years. And they were willing to agree to most of Israel's security demands re demilitarization.
In short they where willing to concede on all the seemingly "intractable issues." But the Israeli government of the day - Olmert/Livni - refused because Israel wanted to keep Ariel, Maale Adumim, and other large settlements deep inside the West Bank.
If Israel won't accept that deal - there is no hope for any deal.
And as a side effect of these revelations Abbas and company may lose so much face that they are effectively finished. In which case Israel will never get such a generous offer again.
Some days you just want to scream!