I think it is too early to be so pessimistic. One thing Bush has made clear is that the bantustan concept is unacceptable to him and therefore a nonstarter. This may be a bumpy roller coaster , but the next year should be very interesting. Even if they don't achieve it fully, it might be that something positive can happen in the next year. Bush may have decided that this is his legacy and he will ruthlessly pursue it. Remember, his ruthlessness in pursuing his other goals.
4.2-scale earthquake felt in Dead Sea, Jerusalem area (Haaretz)
from the article: Israel, PA agree to strive for deal by end of 2008