True. It wasn't the case 1000 years ago and it isn't today.
the secularization of Islam will bring that about with less catasthropic consequences to humanity.
Easier said than done. For this to happen, entire cultures within the Muslim world need to be changed. This is part of our goal in Iraq. Democracy and Western ideals of secular law are generally incompatible with the Koran and other writings of Islam. Difficult, but it must be done at least to the extent they are not an active threat to all other civilizations and they turn back inward.
The destruction of Muslim extremism however, is the goal here.
Certainly. The terrorists must be destroyed or completely neutralised. With them, there is no compromise and no possible peaceful future for the rest of humanity which doesn't follow Islam.
In the end, perhaps the best we can hope for is more of the same; royal families, heavy handed state fascism or military rule. They have heretofore been the successful working models of Muslim states. Islam is not a religion that lends itself at all to republican principles.