The conflict started as a political and nationalist conflict when the collapse of the Ottoman Empire created tension over the division and ownership of the land . Over the years , it has changed from the large-scale Arabâ `` Israeli conflict to a more local Israeli-Palestinian conflict , though the Arab World and Israel still disagree with each other over specific territory . The conflict , which started as a political and nationalist conflict over competing territorial ambitions following the collapse of the Ottoman Empire , has shifted over the years from the large scale regional Arabâ `` Israeli conflict to a more local Israeliâ `` Palestinian conflict , though the Arab world and Israel generally remain at odds with each other over specific territory .