Back in 2014, the top answer to the following question suggested that a "three-state solution" where Egypt annexes the Gaza Strip and Jordan the West Bank is not viable.
However, recently, the Trump administration declared Jerusalem the capital of Israel, and Trump's former Campaign Strategist Stephen Bannon was heard describing the move in the upcoming book "Fire and Fury" (from an excerpt of the book in New York Magazine):
Pivoting from Trump himself, Bannon plunged on with the Trump agenda. “Day one we’re moving the U.S. Embassy to Jerusalem. Netanyahu’s all-in. Sheldon” — Adelson, the casino billionaire and far-right Israel defender — “is all-in. We know where we’re heading on this … Let Jordan take the West Bank, let Egypt take Gaza. Let them deal with it. Or sink trying.”
“Where’s Donald on this?” asked Ailes, the clear implication being that Bannon was far out ahead of his benefactor.
“He’s totally onboard.”
Bannon's comments suggest that declaring Jerusalem the capital of Israel/moving the US embassy is part of a larger plan to implement a three-state solution to the Israeli–Palestinian conflict.
How would this work? Why would Jordan and Egypt be more willing to annex the respective territories if Jerusalem is considered the Israeli capital by the US? What is the best interpretation of Bannon's comment "Let them deal with it. Or sink trying"?