DAY 646 OF THE WAR: Netanyahu Returns Without Ceasefire Deal, as Overwhelming Public Support for Immediate End of War Grows; Israeli Communications Satellite Successfully Launched into Orbit

Tel Aviv Diary, July 13, 2025

This was a weekend marked by deepening disappointment in Israel—especially after Prime Minister Netanyahu unexpectedly returned, landing at Ben Gurion Airport Friday afternoon. When traveling abroad, Netanyahu typically stays through the weekend. There had been cautious optimism that he would remain overseas to finalize a ceasefire deal. Of course, once he boarded the plane, it became clear that he was heading home—dashing hopes that an agreement was imminent. The widespread assumption had been that he would only return with an agreement in hand.

Rewind to the previous Saturday night, during the mass demonstrations in support of the hostages: the prevailing mood was one of cautious optimism, with a palpable sense that a deal was just days away. Trump was speaking confidently of an imminent agreement, his special envoy Steve Witkoff echoed that same sentiment, and Prime Minister Netanyahu was en route to Washington. Surely, people thought, Netanyahu would want to hand Trump a diplomatic win—perhaps even the chance to announce a Gaza ceasefire.

According to the families of the hostages, American officials from the Trump administration assured them unequivocally on Tuesday that Netanyahu would not leave Washington without announcing an agreement. By their own account, the families left the meeting encouraged, convinced that an agreement was within reach. The only question, they believed, was whether it would be a partial deal or a comprehensive one. Netanyahu even spoke publicly—for the first time—about his willingness to negotiate an end to the war. To many, it signaled a significant shift, a sense that the pieces were finally falling into place.

But that sense of hope was quickly extinguished during Netanyahu’s meeting with the hostage families on Wednesday night. In the closed-door session, Netanyahu maintained that many key issues remained unresolved and that a deal was not imminent. He urged the families to remain patient—a request that rang hollow after more than twenty-one months of agony and uncertainty. Their response was telling: not only has their patience worn thin, but so too has any remaining trust in Prime Minister Netanyahu.

In recent days, the primary obstacle preventing a ceasefire agreement between Israel and Hamas has come into sharper focus. Although the reasons for the sudden breakdown in negotiations were initially unclear, it now appears that the sticking point centers on Israel’s insistence on maintaining a military presence in the so-called Morag Corridor during the first phase of the deal. Seen as vital to Israel’s plan for establishing a “humanitarian zone,” would leave Israeli forces in control of roughly 40% of Gaza during the interim period. For Hamas, this raises a broader concern: that Israel has no real intention of fully withdrawing from the Gaza Strip.

When Prime Minister Netanyahu met with families of the hostages, he stated that Israel was prepared to enter final-status negotiations—but only if Hamas agreed to disarm and its top leaders left Gaza. These are demands Hamas has repeatedly rejected. As a result, many observers now see Netanyahu’s demands as a calculated move to ensure negotiations collapse, thereby providing a rationale for continuing the war.

Another unresolved dispute involves the width of the buffer zone along the Gaza-Israel border, which Israel intends to maintain going forward.

POLITICAL DEADLOCK AND PUBLIC DISTRUST

Despite overwhelming public support for ending the war—recent polls show 72% of Israelis favor an immediate deal to bring all hostages home, with another 12% backing a phased return—Netanyahu dismissed the figures as “fake polls.” Critics say his response highlights a widening gap between the Israeli public and its leadership, a pattern that has become increasingly pronounced as the war drags on.

This tension was further heightened last week by a New York Times exposé detailing how Prime Minister Netanyahu has repeatedly undercut potential ceasefire agreements to maintain the stability of his political coalition. While much of the reporting echoed earlier coverage in Israeli outlets—most notably Channel 12’s investigative program Uvda—the Times piece offered the most comprehensive account to date of Netanyahu’s behind-the-scenes maneuvering.

One particularly striking anecdote described a conversation with Biden administration officials, in which Netanyahu reportedly dismissed overwhelming Israeli support for a ceasefire, saying, 'But not the majority of my voters.' The revelations have been widely picked up by Israeli media—though largely ignored by the pro-Netanyahu Channel 14—and, notably, the government has issued no substantive rebuttal.

The fallout from the New York Times exposé has only deepened public frustration. For many Israelis, the article confirmed a growing suspicion: that the Prime Minister is actively obstructing a deal, prolonging both the war and the anguish of the hostages and their families.

There are still faint hopes that Netanyahu is working behind the scenes on a partial agreement, possibly trying to bring hardliners like Smotrich and Ben-Gvir on board. Still, the likelihood of this government reaching a comprehensive end-of-war deal that secures the return of all hostages remains slim. Absent such a breakthrough, broader strategic objectives—such as normalization with Saudi Arabia or even preliminary dialogue with Syria—are likely to remain out of reach.

The government’s prevailing argument—that Hamas must be destroyed to prevent another October 7—is facing growing scrutiny. Critics contend that preventing future massacres depends not on perpetual war, but on strategic vigilance and responsible policymaking. Just as Hezbollah’s rearmament has triggered targeted Israeli strikes in Lebanon, they argue, Hamas too could be deterred and contained if it reemerges as a threat. What’s becoming increasingly clear is that an open-ended war offers no viable path forward—and the window for achieving a lasting political resolution is closing rapidly.

Veteran social and political activist Gershon Baskin, who was also one of the negotiators in the Gilad Shalit deal, posted the following today:

Yesterday I received a message from the head of Hamas’s negotiation team. The following two sentences are his most important message to the Israeli public:

Israel has repeatedly rejected our proposal to release all Israeli hostages at once in exchange for ending the war. They preferred a partial solution – which clearly indicates their intention to continue the war, as well as the fact that the issue of the hostages is not considered a central concern by the Israeli public.

As for governance in Gaza after the war: from our perspective, this issue is completely settled, and we have made our position clear: we want an independent professional committee to govern Gaza with full authority–and Hamas will not be part of it.

(Gershon Baskin, July 13, 2025)

A new development has emerged in recent weeks—and more acutely in recent days. Until now, the primary pressure to end the war had come from the families of the hostages. But increasingly, it is also coming from a different and powerful voice: the parents of the soldiers still fighting in Gaza.

Reports from the field describe growing frustration among soldiers, many of whom are now asking, “Why are we doing this again? What is the goal?” Their parents are echoing those concerns, saying their sons are exhausted, mentally and physically depleted, and questioning the purpose of continuing the war.

For the first time since the war began, organized groups of parents of regular combat soldiers are beginning to speak out publicly. Their anxiety is completely understandable. This cohort of soldiers has now been fighting longer than any other in Israeli history—and their families are increasingly alarmed by what they see as an open-ended, undefined mission with no clear end in sight.

After nearly two years of continuous combat, many feel the system is cynically exploiting the unwavering patriotism of these young men and their families. To them, loyalty is being taken for granted, with little regard for the physical and emotional toll it exacts.

FULL CONTROL: ISRAEL’S INDEPENDENT SATELLITE GOES LIVE

Aboard a SpaceX rocket, Israel’s Dror 1 satellite soared into orbit this morning. The satellite, which reached geosynchronous orbit—meaning it remains fixed over a specific point on Earth—is the first Israeli satellite constructed almost entirely from domestically made components. Produced by Israel Aircraft Industries, Dror 1 is designed to give Israel communications capability from the east coast of the United States to the western coasts of Russia.

The Dror 1 satellite is owned by the State of Israel and will be operated by IAI—marking the first time both ownership and operation remain entirely within Israeli hands. In addition to being positioned in geosynchronous orbit and being fully Israeli-made, the satellite is also unique in that its frequencies and operational modes are software-defined. This means they can be modified from the ground at any time, rather than being fixed in advance.

Dror 1 provides Israel with communications independence. While it required a major investment, it guarantees that no external entity can control Israel’s communications with the rest of the world. The satellite is capable of transmitting data, internet, voice, and all other standard functions of modern communications satellites.

Though not a military satellite—it isn’t designed for photography or surveillance—it plays a vital strategic role by securing Israel’s communication channels.

The Dror 1 satellite weighs 4.5 tons, has a wingspan of 17.8 meters, and features an antenna with a diameter of 2.8 meters.

BUSINESS

RealSense

In a strategic move highlighting the shifting landscape of the technology sector, RealSense, an Israeli pioneer in computer vision technology, has successfully spun off from Intel, securing a substantial $50 million funding round. This transition marks RealSense's evolution from an internal division of the chip giant to an independent entity, poised to accelerate its expansion into the burgeoning robotics market.

The funding, which saw participation from Intel Capital, MediaTek Innovation Fund, and other strategic investors, will be crucial for RealSense, whose approximately 100 employees are mostly based in Israel, to scale its production capabilities, expand global operations, and invest further in AI software R&D and next-generation depth cameras. The company's innovative 3D perception cameras are already integral to an estimated 60% of the world's autonomous mobile robots and humanoids, serving over 3,000 customers.

This spin-off comes at a time when Intel faces significant financial headwinds. The semiconductor titan has been reporting consecutive quarterly losses and declining revenues, with its stock experiencing considerable pressure due to a challenging macro environment and fierce competition in the AI segment from rivals like Nvidia and AMD. In an effort to raise much-needed capital to fund its core businesses and cover operational costs, including substantial severance payments from ongoing layoffs, Intel has been actively divesting assets. This includes a recent major secondary offering of 50 million shares of Mobileye Class-A common stock, its autonomous driving subsidiary, aiming to generate over $1 billion. This move underscores Intel's current financial difficulties and its strategy to monetize non-core assets to strengthen its balance sheet and focus on its foundational chip manufacturing and AI initiatives.

aiOla

Israeli voice and conversational AI startup aiOla has secured $25 million in a Series A2 funding round, bringing its total funding to $58 million. The latest investment includes a strategic commitment from United Airlines Ventures, hinting at future collaboration between the airline and the tech firm. aiOla specializes in converting spoken input into structured, machine-readable data, even in noisy or complex environments—an area where traditional voice recognition tools often falter. Its proprietary system, Jargonic, is designed to handle technical jargon, multiple languages, and heavy accents, making it ideal for field workers and frontline staff who need to record data quickly and hands-free.

United Airlines is exploring the integration of aiOla’s technology across its operations, including ground crews and maintenance teams. By capturing spoken reports in real time and feeding them directly into backend systems, the airline aims to streamline workflows that currently depend on manual data entry. The investment comes as the global speech recognition market has surged to $5.4 billion, driven by increasing demand for industry-specific applications. While tech giants push general-purpose models, aiOla positions itself as a specialist in domain-adapted voice tools, offering faster implementation and greater accuracy in real-world use cases. “Voice is still the simplest way to get information from the field to the system,” said aiOla president and co-founder Amir Haramaty, “but it’s underused because most systems can’t handle real-life complexity.”

∞–––––∞–––––∞–––––∞–––––∞–––––∞–––––∞–––––∞–––––∞–––––∞

TRAVEL ACROSS ISRAEL

Mitzpeh Ramon

Heading back north from Eilat, we’ll stop today in Mitzpe Ramon—literally "Ramon Lookout”— is a unique town nestled in Israel's Negev desert. Mitzpe Ramon sits perched on the northern ridge overlooking the magnificent Makhtesh Ramon, the world's largest erosion cirque.

Founded in 1951 as a modest labor camp for workers building Highway 40—a critical route linking Beersheba and Eilat—Mitzpe Ramon saw its first permanent residents arrive in 1956. These early settlers, mostly young families, faced harsh desert conditions and limited infrastructure as they laid the foundations of the town.

The town grew slowly, attracting immigrants from North Africa, Romania, and India in the 1960s, becoming one of the southernmost "development towns" in the Negev. Despite setbacks—such as the redirection of traffic away from the town in the late 1960s with the opening of Route 90—Mitzpe Ramon endured. It was bolstered by the construction of the Ramon Airbase in 1982 and a wave of immigration from the former Soviet Union in the 1990s. In recent years, renewed interest in ecotourism and the region’s striking natural beauty has helped revitalize the local economy.

The main draw of Mitzpe Ramon is undoubtedly the Ramon Crater. This geological wonder, often likened to Israel's Grand Canyon, is not a meteorite impact crater but a vast erosion cirque, stretching 40 km long, up to 10 km wide, and 500 meters deep. Its unique formation over millions of years has exposed vibrant layers of rock, creating a stunning and otherworldly landscape. The crater and its surroundings are part of the Ramon Nature Reserve, Israel’s largest national park, offering abundant opportunities for outdoor enthusiasts and nature lovers alike.`

The Ramon Crater Visitor Center is an excellent starting point. It offers insightful exhibits on the crater's geology, wildlife, and history, including a memorial to Israel's first astronaut, Ilan Ramon, who deeply loved the area. From the center, we can step out onto observation decks for breathtaking panoramic views. Other must-see attractions include Har Gamal (Camel Lookout), a hill resembling a sitting camel that provides an ideal spot for sunrise and sunset views over the makhtesh.

For unique experiences, we might consider a Jeep tour into the crater, exploring sites like HaMinsara (the Carpentry), a hill with striking prism-shaped quartzite rocks. Mitzpe Ramon is also renowned as an International Dark Sky Park, making stargazing an unforgettable activity, and guided tours often available.

We can’t miss the Alpaca Farm, where we can interact with llamas and alpacas. The town itself has a growing artsy vibe, with local galleries, cafes, and guesthouses, particularly in the Spice Route Quarter.