"Show me just what Mohammed brought that was new, and there you will find things only evil and inhuman, such as his command to spread by the sword the faith he preached." - Manuel II Palelologus
Simple solution for NATO. Offer all of Kashmir to India and an offer to take out Pakistani nukes for good in return for cooperation in Afghanistan.
If NATO looks like it has lost its nads to the Russians, there will be other warm spots in the world that will go red hot in no time.
Taiwan, Iran-Syria, North Korea (less likely but still) and Pakistan itself.