A "one state solution" very similar to yours already exists. One single state for catholic, orthodox & oriental christians, for sunni & shia muslims and for druze. No apartheid, no segregation. In this One State Solution, they fough a civil war for 20 years, got occupied by their neighbor country, and today they are governed by Hezbollah fanatics. The One State Solution you are dreaming of already exists, it's called "Lebanon". And nobody on the planet want to live in a state like this.
Law expanding definition of terrorist activity passes first Knesset reading (Haaretz)