Ignore Israel and the Palestinians completely. The rest of the world including the US, Russia, China, etc. go in and enforce the 1967 borders decided by the UN and agreed to by much of the world's countries.
Then send in UN Blue Hats to maintain the borders and minimize violence until it withers to a smattering of individual terrorists.
There will be extremists on both sides who don't like it, but it could be a pragmatic solution that minimizes death and destruction on into the future.
Somehow I don’t see Netanyahu giving up easily. While he has little support in Israel now much of the population there sees things the same way he does. They want the Arabs cleaned out from Gaza and the West Bank. Will a new leader be any more amenable to compromise? It would require serious pressure from the US but politically the US isn’t there yet. But our support for Israel is working against US interests from an international perspective so eventually something will have to be done.