This article reports on a rather new and revolutionary education initiative in Israel. The information and descriptions offered are based on the results of a long-term ethnographic research effort that has been conducted since 1999 in the integrated bilingual Palestinian-Jewish schools in Israel. The bilingual schools are a product of the entrepreneurship of good-willed citizens who, unaided by theoretical conceptualizations, developed a system based on commonsensical humane approaches, flowing from their experience in Israel's complex and unjust society. The schools' functioning can be conceptualized through a variety of existing theoretical paradigms, including peace and co-existence education, collaborative learning, multiculturalism, bilingual education, contact hypothesis, and less-recognized acculturation theories. These paradigms can be relevant to the development of better strategies and pedagogies, which can help to overcome mistrust and fear between the communities involved in this initiative.