What B'Tselem has done is echo the arguments long made by academics and Palestinian civil society, including the international boycott, divestment and sanctions (BDS) movement, that Israel is a settler-colonial society.
In an emailed response to the report, Omar Barghouti, one of the founders of the BDS movement, said it helped to put an end to "the vicious and deeply racist lies about the not-so-perfect Israeli democracy that has a problem called 'the occupation'".
The B'Tselem report observes that, while "occupation" must be a temporary situation, Israel has no intention of ending its military rule over Palestinians, even after more than five decades. A Palestinian state is not conceivably on the agenda of any Israeli party in sight of power, and no one in the international community with any influence is demanding one. The two-state solution has been smothered into oblivion.
For that reason, it argues, all of Israel and the Palestinian territories under occupation are organised "under a single principle: advancing and cementing the supremacy of one group - Jews - over another - Palestinians".
There are good reasons why B'Tselem is biting the bullet now, after decades of equivocation from it and the rest of the Israeli peace camp. Firstly, no one really believes that Israel will be pressured from outside into conceding a Palestinian state. Trump's so-called "peace plan", unveiled a year ago, gave Netanyahu everything he wanted, including support for annexing swaths of the West Bank on which illegal settlements have been built.
Four years of Trump, and the recruitment of much of the Gulf to Netanyahu's side, has shifted the conversation a long way from efforts to secure Palestinian statehood. Now, the focus is on how best to delay Israel's move towards formal annexation.
US president-elect Joe Biden will at best try to push things back to the dismal state they were in before Donald Trump took office. At worst, he will quietly assent to all or most of the damage Trump has inflicted on the Palestinian national cause.
Deeply isolatedSecondly, B'Tselem and other human rights groups are more deeply isolated at home than ever before. There is simply no political constituency in Israel for their research into the systematic abuses of Palestinians by the Israeli army and settlers. That means B'Tselem no longer needs to worry about messaging that could antagonise the sensibilities of Israel's so-called "Zionist left" - because there is no meaningful peace camp left to alienate.
The disappearance of this peace camp, unreliable as it was, has only been underscored by the Israeli general election due in late March. The battle for power this time is being waged between three or four far-right parties that all support annexation to varying degrees.
The Israeli left has ceased to exist at the political level. It comprises a handful of human and legal rights groups, mostly seen by the public as traitors supposedly meddling in Israel's affairs on behalf of "European" interests. At this stage, B'Tselem has little to lose. It is almost entirely irrelevant inside Israel.
Thirdly, and as a result, the only audience for B'Tselem's careful research exposing Israeli abuses is overseas. This new report seeks to liberate a conversation about Israel, partly among Palestinian solidarity activists abroad. Their campaigns have been stymied by the failure of the Palestinian leadership under Mahmoud Abbas to signal where they should direct their energies, now that prospects for Palestinian statehood have vanished.
Activists have also been browbeaten into silence by smears from Israel's partisans in the US and Europe, decrying any trenchant criticism of Israel as antisemitic. These slurs were relentlessly deployed against the UK's Labour Party under Jeremy Corbyn because of his support for the Palestinian cause.
Breaking a tabooBy calling Israel an apartheid state and a "regime of Jewish supremacy", B'Tselem has given the lie to the Israel lobby's claim - bolstered by a new definition promoted by the International Holocaust Remembrance Alliance - that it is antisemitic to suggest Israel is a "racist endeavour".
B'Tselem, a veteran Israeli Jewish organisation with deep expertise in human rights and international law, has now explicitly declared that Israel is a racist state. Israel's apologists will now face the much harder task of showing that B'Tselem is antisemitic, along with the Palestinian solidarity activists who cite its work.
The report is also intended to reach out to young American Jews, who are more willing than their parents to foreground the mistreatment of Palestinians and to forgo the Zionist idea that Israel is their bolthole in times of trouble.
Significantly, the B'Tselem report has been published in the wake of two groundbreaking essays this past summer by influential American Jewish journalist Peter Beinart. In them, he broke a taboo in the US Jewish mainstream by declaring the two-state solution dead and calling for a single democratic state for Israelis and Palestinians.
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