While a two-state solution was the “only outcome” acceptable to both Israelis and Palestinians, a unitary state would become “a prescription for prolonged civil war, he warned.
“The risk of being wrong and losing our Jewish soul is an existential threat in our time — a greater one than intermarriage.”
Mr Bronfman chairs the Israel Policy Forum, an American body which backs a two-state solution.
Only a few days ago, Israel’s influential Education Minister Naftali Bennett rejected the idea of two states.
He told the BBC World Service the Palestinians already had a state in Gaza and they had turned it into a “terror state”.
Ceding the West Bank to the Palestinians would be giving them a second state “and I vehemently oppose that”.
Mr Bennett instead suggested the Palestinians could have “less than a state” in which they governed themselves but would be denied an army in order not to pose a threat to Israel.
In 2010, Sir Mick Davis, the then chairman of the Jewish Leadership Council in the UK, sparked controversy when he warned of the danger of Israel retaining the West Bank. "If… the world community no longer believes that a two-state solution is possible, " he said, "we de facto become an apartheid state because we then have the majority who are going to be governed by the minority."