I see it as letting the moderates have a chance to prove themselves, as well as trying to not have to take on all 1.2 billion at once.
That said, the possibility that we will need to do so remains open.
This whole thing would be much easier if the Western media weren't so multiculturally/politically correct, and were willing to take on the evil aspects of (radical?) Islam - violent jihad, dhimmitude, subjugation of women, etc. And if the mythical moderate Islamics would step up to the plate and prove themselves by controlling their radicals.
I think they've had their chance and done absolutely nothing. The only real attacks on islam are coming from ex-muslims like Wafa Sultan, Hirsi Ali, Ali Sina, et al.
If the world is afraid to publish cartoons of mohammed, how much more afraid are the moderate muslims who know the depravity of jihad?
Unfortunately, what the west and the world needs is a leader of Churchillian voice and character who will define the enemy clearly and honestly, and will devise and implement a long-term strategy for its defeat.
Having said that we need a long-term strategy, let me add that we also desperately need a short-term strategy for dealing with the acquisition of nuclear weapons by islamic countries. The world cannot endure the possession of world splitting weapons in the hands of a population of pure psychopaths. If we don't stop this affair, it is over!