I believe the Israelis, Palestinians and Gaza Strip inhabitants are all good, well meaning people that deserve to live free from violence and war. However, cultural and linguistic differences combined with third-party brainwashing prevent both sides from reaching an agreement.
Consider that Britain was given control of Hong Kong for a period of time before it was returned to China. Stewardship by a third party enabled all involved to prosper and refocus. I believe if Egypt or Saudi Arabia become steward to the Palestinian territories for 150 years (as a path to independence) it will remove a key source of conflict, and also remove from the Israeli government an excessive burden, plus responsibility for an area they obviously cannot govern appropriately to begin with.