This article examines the evolving relations between Israel and the indigenous Bedouin Arab population of the southern Beer-Sheba region. It begins with a discussion of theoretical aspects, highlighting a structural conflict embedded in the ‘ethnocratic’ nature of nation-building typical of ‘pure’ settler states, such as Israel. The place of the Bedouin Arab community is then analyzed, focusing on the impact of one of Israel's central policies—the Judaization of territory. The study traces the various legal, planning and economic strategies of Judaizing contested lands in the study area. These have included the nationalization of Arab land, the pervasive establishment of Jewish settlements, the forced urbanization of the Bedouin Arabs, and the denial of basic services to Bedouins who refuse to urbanize. However, the analysis also finds a growing awareness among indigenous Arabs of their being discriminated against on ethnic grounds, and the emergence of effective resistance. In recent years, this has resulted in a deadlock between state authorities and the indigenous peoples. The case of the Bedouin Arabs demonstrates that the ethnocentric settler state is weakening and fragmenting, partially at least, due to its own expansionist land, planning and development policies.