DAY 657 OF THE WAR: Talks In Doha On Hold, Amid Problematic Hamas Response; Israeli Government Orders Army to Flood Gaza With Food; Terror Attack At Beit Lid Junction

Tel Aviv Diary, July 24, 2025

What many feared last night has now come to pass: the ceasefire negotiations appear to have hit a wall. This afternoon, the Prime Minister’s Office announced that, following Hamas’s failure to offer a sufficiently positive response to Israel’s latest proposal, the Israeli delegation will return from Qatar for consultations.

After more than two weeks of shifting momentum—rising hopes, dashed expectations, and renewed optimism—the process has effectively fully reset. While the talks have not been formally suspended, and both sides insist there is still room for negotiation, any near-term breakthrough now seems off the table.

US Special Envoy Steve Witkoff shared the following post on X tonight:

We have decided to bring our team home from Doha for consultations after the latest response from Hamas, which clearly shows a lack of desire to reach a ceasefire in Gaza. While the mediators have made a great effort, Hamas does not appear to be coordinated or acting in good faith. We will now consider alternative options to bring the hostages home and try to create a more stable environment for the people of Gaza. It is a shame that Hamas has acted in this selfish way. We are resolute in seeking an end to this conflict and a permanent peace in Gaza.

As I suggested last night, Hamas seems to believe the momentum has shifted in its favor. The images emerging from Gaza—regardless of their full accuracy—are having a powerful impact. International support for Israel, already fraying, is deteriorating further under the weight of growing perceptions of famine in Gaza.

We’ll return to the starvation question shortly. But first, back to the negotiations.

The recent surge in optimism was built on two key assumptions. First, that Hamas genuinely wanted to reach an agreement and was prepared to offer concrete concessions in exchange for 60 days of calm, expanded humanitarian access, and a structured path toward a permanent ceasefire. Second, that Israel, for the first time, had shown openness to discussing that long-term resolution.

But with global opinion hardening against Israel, Hamas now appears to believe the clock is working in its favor. The worsening images from Gaza are fueling global outrage, and the narrative of a humanitarian catastrophe is gaining traction. In this environment, Hamas seems to be calculating that it can extract more by waiting—confident that Israel alone will be blamed for the hunger and suffering spreading across Gaza.

For Hamas, shifting blame onto Israel takes precedence over confronting the reality that their own people may be, starving. Time and again, their actions have revealed a stark indifference to the welfare of Gaza’s civilian population. Hamas’s primary goal remains unchanged: to harm Israel—politically, militarily, and diplomatically—by whatever means possible.

While Hamas initially signaled a willingness to make concessions and move toward an interim agreement, it’s now evident that those indications of concessions have been rolled back. In truth, nearly every point on the table remains open to negotiation—from the number of prisoners to be released to the positioning of Israeli forces. However, one issue remains non-negotiable: Hamas refuses to agree to any agreement that ends with a return to war after 60 days.

They are unwilling to surrender 50% of their remaining living hostages in exchange for what they view as a temporary pause. Nor are they prepared to trade those hostages for expanded food deliveries—particularly when aid is already flowing into Gaza, with or without a formal agreement.

This reluctance is not without context—especially in light of what happened last time. Under the previous agreement, Israel had committed to sending negotiators after 18 days to begin talks on a permanent settlement. That never happened. Instead, when the pause expired, Israel resumed military operations without taking meaningful diplomatic steps.

That precedent matters. From Hamas’s perspective, it was Israel that broke the last agreement. And now, understandably, they are deeply skeptical of any new arrangement that fails to guarantee a clear path to ending the war—something they’ve demanded from the outset.

American officials have operated under the belief that once a ceasefire begins, they can hold it—and prevent Israel from reigniting the conflict—despite that exact scenario unfolding last time. But persuading Hamas of this requires a level of message discipline from Israeli ministers and lawmakers that has proven elusive.

Demonstration Tonight in Tel Aviv to End the War

Take, for instance, Heritage Minister Amichai Eliyahu of the Religious Zionism party, who recently declared: “There will be no settlement within cantons. All of Gaza will be Jewish—there will be no fenced-off settlement.” Eliyahu may be the most outspoken, but he’s far from alone. Statements like these undermine the credibility of any ceasefire offer. And frankly, if I were sitting in Hamas’s war room, I’d find it hard to believe Israel is serious about ending the war, too.

So yes, at this moment, it is Hamas stalling progress toward an interim agreement. But the deeper reality is harder to ignore: the real roadblock is Israel’s refusal to commit to a final, painful agreement that would leave Hamas in power—even temporarily.

It’s an outcome no one prefers, but it exposes a more fundamental failure. Israel never formulated a viable “day after” strategy. The current government deliberately sidestepped the issue, fearing that even raising it would splinter the coalition. That avoidance has come at a cost. Now, in the absence of a plan, we’re left with paralysis—and paying the price for this.

Without a plan, only two options remain. One is to continue fighting indefinitely, reoccupy Gaza, and impose a full-scale military administration—an option with questionable feasibility, unclear manpower, and severe international fallout. The other is to accept a painful and deeply unsatisfying compromise.

The hard truth is that the moment Hamas successfully took hostages on October 7th, we effectively lost this round. Israel has inflicted massive damage on Hamas’s military infrastructure and destroyed much of the housing in Gaza. But when the dust settles and the troops withdraw, Hamas will still be standing—and still in power.

Perhaps the only meaningful deterrent left is this: if Hamas violates the next ceasefire, Israel will return in—this time without hostages to constrain its operations. That threat may give Hamas pause.

But for now, the fighting must end. However politically costly it may be for the Prime Minister and members of his coalition, continued warfare without a strategy serves no one. The price of inaction is mounting—and so is the urgency to end it.

GAZA

Meanwhile, in Gaza, the toll on Israeli forces continues. This morning, two soldiers were seriously wounded during operations in the south. In northern Gaza, eight others sustained moderate to light injuries in an accident. And so it goes—day after day, war grinds on.

“The penny has dropped”—or, as a vintage Hebrew expression puts it, nafal ha-assimon, literally: “the token has dropped.” It refers to the old phone tokens used in Israeli pay phones: you’d insert one, often several if making a long-distance call, and wait for the loud clink signaling that the line was live. Only then could the conversation begin.

That same moment of realization seems to be happening now. People are suddenly connecting the dots, waking up to the broader implications of the campaign claiming that Israel is starving Gaza.

For the first 48 hours, the instinctive response in Israel was outright denial: argue the facts, insist the blame lies with Hamas, emphasize that Israel is allowing sufficient food into Gaza. All the usual talking points returned.

But this time, none of it appears to be working. They’re no match for the avalanche of harrowing images flooding out of Gaza. At this point, it scarcely matters whether the images are authentic, misattributed from Yemen, or even AI-generated. This is what the world sees—and the narrative is taking hold.

One of our readers asked me directly: “Are we starving Gaza?” The answer is no—Israel is not intentionally starving the Gaza population. However, there is no denying that Israeli actions over the past several months have contributed to serious food shortages in parts of the Strip. These include a two-month shutdown of the existing food distribution network, followed by the rollout of an Israeli-run alternative that, by most accounts, has largely failed to meet basic needs.

As a result, even if food is entering Gaza in sufficient quantities on paper, it’s not reaching those who need it most. Distribution remains uneven, and evidence is mounting that parts of the population are nearing starvation.

Reports indicate that some 800 aid trucks are currently inside Gaza, stocked with supplies but stalled—awaiting UN distribution. But at this point, the world has little patience for explanations. The images tell their own story, and perception is driving the response.

Food inside Gaza waiting to be distributed

Now, finally, the Israeli government seems to grasp the urgency of the moment. It has directed the military to flood Gaza with food—moving as much aid in, as quickly as possible. The goal is to overwhelm the market, drive down prices, and make it unmistakably clear that Israel is not withholding food. That was never the policy.

Israeli officials had viewed cutting off Hamas’s control—and profits—from food distribution as a strategic lever. But that strategy has failed.

Belatedly, but thankfully, the government and the IDF appear to recognize this. In the coming 48 hours, we can expect a significant surge in the volume of food entering Gaza. It may not reverse the damage already done, but it could help temper the narrative, at least temporarily.

TERROR ATTACK IN BEIT LID

This morning, a terror attack struck at the Beit Lid junction—a location etched in the memory of many Israelis, including myself. Fifty years ago, it was a routine transit point for soldiers, one I passed through countless times.

Today, a terrorist rammed his vehicle into that very bus stop, injuring eight soldiers who were waiting there. Thankfully, none of the injuries were fatal, and most of the wounded are expected to be released from the hospital soon.

The terrorist fled the scene but has since been identified and is now being pursued by security forces. It’s a sobering reminder that even as attention remains fixed on Gaza, there are always other fronts.

TEL AVIV WOMAN INDICTED; ASSASSINATION PLOT FOILED

In a separate, disturbing incident, a 70-year-old woman from Tel Aviv was indicted today for allegedly plotting to assassinate Prime Minister Benjamin Netanyahu.

According to the indictment, the woman—diagnosed with a terminal illness and a vocal critic of Netanyahu—had spoken openly with acquaintances about her intentions and inquired about acquiring specific weapons. One of those individuals alerted security services, who then passed the information to police. She was arrested shortly thereafter.

Whether her intentions were genuine or simply the desperate ramblings of a terminally ill woman remains to be seen. Perhaps a trial will shed light—or it may not. But one thing is certain: talk of assassinating the Prime Minister is a red line that must never be crossed.

BUSINESS

Elbit Systems

Peru has become the first South American country to acquire Elbit’s PULS rocket artillery system, signing an initial contract worth approximately $60 million. In the tender process, Elbit outcompeted Turkey’s Roketsan, which was eliminated early for failing to meet technical requirements. In the final evaluation, Elbit received a perfect score of 100 out of 100, while China’s Norinco scored 92.

About the PULS System … PULS (Precise & Universal Launching System) offers a comprehensive solution capable of launching both unguided rockets and precision-guided munitions, including missiles of varying ranges. The launcher is fully compatible with existing platforms—whether wheeled or tracked—allowing for significantly reduced maintenance and training costs. It can engage targets at distances of up to 300 kilometers.

Elbit is partnering on the project with Peru’s local defense company FAME, and the two firms will now enter final negotiations with the Peruvian Ministry of Defense. Part of the system’s production is expected to take place on Peruvian soil, reflecting a global trend in which countries purchasing foreign defense systems demand local job creation and technology transfer. The hope is that such collaboration will one day enable these nations to develop advanced systems on their own.

Aidoc

Secures $150M Funding as AI Medical Platform Approaches $100M Revenue Milestone

Israeli medical AI company Aidoc has completed a $150 million funding round led by General Catalyst and Square Peg, with participation from NVIDIA's investment arm NVentures and several major U.S. healthcare systems. The hybrid financing structure—comprising $110 million in equity and $40 million in credit facilities—values the company at over $1 billion and brings total funding since its 2016 founding to $370 million.

The Jerusalem-based startup, which employs 500 people globally with 300 in Israel, is positioned to reach approximately $100 million in annual recurring revenue by year-end, marking its transformation from a radiology-focused startup into a comprehensive medical AI platform serving over 2,000 hospitals worldwide.

Much of the new capital will fuel development of CARE, Aidoc's healthcare foundation model that has already achieved FDA approval for clinical use—a first for this type of AI architecture in medical settings. The platform, which processes imaging data from 50 million patients annually to detect critical conditions like brain hemorrhages and pulmonary embolisms, now functions as an "operating system" for clinical AI, with 70% of customers deploying third-party algorithms through Aidoc's infrastructure.

The company's technology has demonstrated measurable clinical impact, including a 30% reduction in mortality rates for brain hemorrhage detection according to a 2023 study at Sheba Medical Center, while its foundation model approach has dramatically accelerated development timelines from months to near-instantaneous deployment of new diagnostic tools.

TRUMP CALLS TO ELIMINATE AI REGULATION

Tonight, I’d like to return to my occasional series on artificial intelligence (AI), which I sometimes feature on the podcast. As many of you know, I’m a frequent user of AI. I subscribe to all three major platforms and use the technology for a range of tasks: editing my writing, conducting research (though never exclusively through AI), generating images on occasion, and even programming. I’m no Luddite—in fact, I’ve been an early adopter of technology since the day the Macintosh was released in 1984.

Despite my embrace of technology, I have to admit I carry deep concerns about where AI may be headed. In the ongoing debate, I often find myself aligned with the pessimists. That’s not to say catastrophe is inevitable—but the risk is real.

Whether or not AI ultimately spirals toward the most extreme outcome—seizing control and wiping out humanity—it’s already clear that it will reshape the workforce in ways we’ve only just begun to imagine.

With these concerns in mind, it’s worth noting former President Trump’s decision to strip away nearly all regulations on AI. Yesterday, the White House released their official “Action Plan on AI”. In this 25 page report (read here), Trump declared:

Winning the AI race will usher in a new golden age of human flourishing, economic competitiveness, and national security for the American people. AI will enable Americans to discover new materials, synthesize new chemicals, manufacture new drugs, and develop new methods to harness energy—an industrial revolution.

The plan goes on to say: The AI infrastructure buildout will create high-paying jobs for American workers. And the breakthroughs in medicine, manufacturing, and many other fields that AI will make possible will increase the standard of living for all Americans. AI will improve the lives of Americans by complementing their work—not replacing it.

It’s increasingly clear that the President has embraced the narrative promoted by major AI companies—that artificial intelligence is an unqualified force for good.

There’s no question that AI is transformative and holds vast potential. But it also carries an extraordinary range of risks, many of them still poorly understood. What’s needed now is not a hands-off approach, but a robust federal policy to regulate the industry—before its impact outpaces our ability to control it.