There are only four possible solutions:
Drive the Jews into the sea and make Palestine for Arabs only
Drive the Arabs into the deserts and make Israel for Jews only
Cut the land in two, half will be Israel for the Jews, half will be Palestine for the Arabs
Arabs and Jews live in the same state, one state, for Israelis and Palestinians, from the river to the sea
The first two are horrifically unjust and evil as well as impracticle since how will you drive the Jews into the sea? Arabs tried many times to kill all the Jews in 1948, in 1967, and on Yom Kippur in 1973. And the Jews will never try to drive the Arabs into the deserts since they are too kind and compasionate for that.
The third option has been tried and has failed for 40 years. There are now over 1 million Israelis living in Judea and Samaria (the so called "west bank") with flurishing cities, businesses, homes, schools, families, et cetera. It will be very difficult and devistating to kick them out. Over 1 million Palestinians from Judea, Samaria, and Gaza now work in Israel. If the land is divided in two and a Palestinian state is created all these people will lose their jobs and businesses. The Jews will never give up Jerusalem. Do the Palestinians really think the Jews will give up Jerusalem? Would Muslims give up Mecca? The Palstinians will not sign a peace deal without Jerusalem and the Jews will endure 10 more holocausts before they give up Jerusalem to another people, and even then they will not give it up. Cutting the land of Canaan in two is also an ugly solution that implies segregation and means the loss of half of Israel for Jews and half of Palestine for Arabs.
The only problem with a one state solution is that the land would loose its character, neither the Jews or the Palestinians would have a government that would represent them.
I think there should be one nation of Canaan from the Jordan to the Mediterranean with five states inside of it: Israel, Judea, Samaria, Gaza, and the Golan. Each state would represent its population and have its own character. Israel would be mainly Jewish and Gaza mainly Palestinian. Judea would be a Jewish/Palestinian state. They would have the same currency and passport and citizenship so a resident of one state could freely travel to the other states. The Jews and the Palestinians could maintain their individual national character and retain all of Canaan. This system would be similar to the US: one nation with 50 states, or India, or Canada, or Aulstrailia. This way no one has to give up their land, or Jerusalem, or their national character, and the blessed land of Canaan does not need to be divided.