What you don't understand is the difference in the political aspirations of both peoples, which have nothing to do with religion. All the Israeli want is a Home-state for the Jews to act as refuge from any hostile part of the world that exists, to live their Jewish life in the way they choose to do. The Palestinians, on the other hand, being Muslims, can't take the idea that the Jews can be indipendant and sovereign in any part of the world, especially they don't like them to rule over other Muslims (like Israeli Arabs). The Israelis don't mind the Palestinians living in their own state in peace, as long as they let the Jews live in theirs, but most Arabs in the world oppose the mere fact of the Jews having their own state, especially in that part of the world which they consider their own (and they forget the long Jewish history connceting them particularly to that part of the world). If you think you can solve this problem, be our guest.