Surveying the escalation of tensions between Turkey and Israel in recent years, the author argues that the substance and tone of the relationship in the 1990s will likely not be restored, however predicts that both sides will consider it in their respective interests to sustain the present level of diplomatic and economic relations. The author also presents an overview of the policies of the Turkish government in its neighborhood, concluding that balances of power in both the Caucasus and the Middle East are shifting as a result of Turkey’s moves, with consequences for the global geopolitical dynamics.