Rolling Stone magazine wrote in its blog about the incident:
The only other seemingly unscripted moment came during U2’s rendition of “Pride (In the Name of Love),” during which Bono suggested Dr. King’s dream is also an Irish, European, African and Israeli dream, adding, with special emphasis, “It is also a Palestinian dream!”
In the blog by the foreign editor of the Times of London, the headline read “Bono and the ‘Palestinian’ Dream.” The Nation magazine praised Bono in an entry called “Bono’s Shout-Out to Palestine,” writing that:
The mention of the Palestinians, in this semi-official setting, with Barack Obama sitting just a few feet away, will not change the circumstance on the ground in Gaza. It is unlikely to inspire a more engaged or functional U.S. policy with regard to the Middle East.
But Bono deserves a measure of credit for reminding the partygoers that peace and justice, for Israel and Palestine is a part of the dream. (emphasis theirs)
UPDATE (Jan 23): Thanks to Debra for pointing that during a rehersal video posted on youTube, Bono can be seen performing the song “Pride” and utters the words “Palestinian dream” and “ceasefire” but does not mention “Israel.” Clip here to watch the video