From the August 2011 "Displacement and Insecurity in Area C of the West Bank" report by the United Nations Office for the Coordination of Humanitarian Affairs occupied Palestinian territory:
http://unispal.un.org/UNISPAL.NSF/0/...2578DF006748BEThe total Palestinian population of Area C is estimated at around 150,000, two-thirds of whom live in localities which are partly located in Area A and B, and one-third in communities located entirely in Area C. This report focuses on the latter, which generally face more severe humanitarian and protection needs, compared to those that are only partially located in Area C. Of those living entirely in Area C, approximately 18,500 live in small, sedentary villages and 27,500 reside in Bedouin and other herding communities, many in remote areas.
The roughly 350,000 Israeli settlers currently make up around 70% of Area C's population. According to the UN, only 46,000 Arabs live in communities located entirely within Area C of the West Bank. That means with slight modifications to the Area C boundries, that area's population would be 88% Jewish!
These lands are strategic and control of them prevents the West Bank from turning into another Gaza on the highlands overlooking Israel's main population centers from Jerusalem to Haifa.
As soon as it is clear that the peace process is death, Israel should expand Area B slightly and annex Area C!