Decision Points

and confident, with a gregarious manner and a ready laugh. “The only solution now is two states—one Jewish, one Palestinian,” he said during the campaign. At one point, he suggested he would create a Palestinian state unilaterally if necessary. Israeli voters rewarded him at the polls.
    Olmert and Abbas, who retained the presidency despite Hamas’s victory in the legislative elections, quickly developed a working relationship. They found agreement on issues such as security checkpoints and the release of some prisoners. Then, in June 2007, the militant wing of Hamas intervened. In a familiar pattern in the ideological struggle, the extremists responded to the advance of freedom with violence. Hamas terrorists backed by Iran and Syria mounted a coup and seized controlof Gaza. Fighters in black masks ransacked Fatah headquarters, threw party leaders off rooftops, and targeted moderate members of Hamas’s political wing.
    President Abbas responded by expelling Hamas from his cabinet and consolidating his authority on the West Bank. “It’s basically a coup d’etat against democracy itself,” Abbas told me on the phone. “Syria and Iran are trying to set the Middle East ablaze.” We redirected our economic and security assistance to Abbas’s government in the West Bank and supported an Israeli naval blockade of Gaza. While we sent humanitarian aid to prevent starvation, the people of Gaza would see a vivid contrast between their living conditions under Hamas and those under the democratic leader, Abbas. Over time, I was confident they would demand change.
    Condi and I talked about a way to restart momentum for a democratic Palestinian state. She suggested an international conference to lay the groundwork for negotiations between Abbas’s government and the Israelis. At first I was skeptical. The aftermath of a terrorist coup didn’t seem the most opportune time for a peace summit. But I came to like the idea. If wavering Palestinians could see that a state was a realistic possibility, they would have an incentive to reject violence and support reform.
    We scheduled the conference for November 2007 at the U.S. Naval Academy in Annapolis, Maryland. Condi and I persuaded fifteen Arab nations to send delegations, including Saudi Arabia. Investing Arab partners in the process early would boost Palestinians’ confidence and make it harder for them to later reject a peace deal, as Arafat had at Camp David.
    The key test of the conference was whether Abbas and Olmert could agree on a joint statement pledging to open negotiations. When we boarded the helicopter for the flight to Annapolis, I asked Condi for the statement. She said they had made a lot of progress but hadn’t finished. “You’re going to have to deliver this one yourself,” she said.
    I pulled Abbas and Olmert aside individually. I told them the summit would be viewed as a failure and embolden the extremists if we couldn’t agree on a statement. They instructed their negotiators to work with Condi. A few minutes before we were due in front of the cameras, she brought me the document. There was no time to enlarge the font, so I pulled out my reading glasses and read from the page: “We agree to immediately launch good-faith bilateral negotiations in order to concludea peace treaty … and shall make every effort to conclude an agreement before the end of 2008.”

    With Ehud Olmert and Mahmoud Abbas .
White House/Eric Draper
    The room broke into applause. Abbas and Olmert delivered speeches of their own. “Freedom is the single word that stands for the future of the Palestinians,” President Abbas said. “I believe that there is no path other than peace. … I believe it is time. We are ready,” Prime Minister Olmert said.
    It was a historic moment to see the foreign minister of Saudi Arabia listen respectfully to the prime minister of Israel and applaud his words. The Annapolis conference was hailed as a surprise success. “The cynicism about the Annapolis talks shouldn’t overshadow the hope that came out of the effort,” the
Los Angeles Times
wrote.
    Shortly after Annapolis, the two sides opened negotiations on a peace agreement, with Ahmed Qurei representing the Palestinians and Foreign Minister Tzipi Livni representing the Israelis. Palestinian Prime Minister Salam Fayyad , an economist with a Ph.D. from the University of Texas, began carrying out long-needed reforms in the Palestinian economy and security forces. We sent