They will be sealing there own destruction in the process. If they want statehood, this will not help them.
Statehood is not the point. The destruction of Israel is. Furthermore, Israel has a Faustian bargain with the US. Pretty much, Israel needs US technology to stay one step ahead of the Arabs, but the US (even under Bush and his ridiculous "Roadmap to Peace" plan) ties their hands by demanding negotiation with the terrorists. If Israel is not allowed to fight the terrorists now, they will lose (barring the miraculous intervention of God) in the long run as the terrorist population is growing faster than Israel's.