Te'o reveals biggest regret

STORY HIGHLIGHTS

• NEW: Te'o says he was embarrassed to discuss girlfriend upon learning she was fake


• NEW: But while admitting some were misled, he says he "didn't lie" publicly


• Te'o has his first on-camera interview since news broke of the girlfriend hoax


• "I wasn't as forthcoming about (the story), but I didn't lie," he tells Katie Couric

(CNN) -- He had wanted to help someone in need, this beautiful girl who had been through so much. And he ended up falling for her. They had much in common -- a strong faith, their Samoan heritage, common values -- and clicked, even though they'd never met face-to-face.

Their relationship ended, the first time, in September when Manti Te'o got a call from her hysterical brother telling him the woman he knew as Lennay Kekua had died, one day after leaving the hospital where she was being treated for leukemia.

Two months later, the relationship unraveled again, this time when he got another call from someone who claimed she was Lennay, very much alive.

In the weeks to follow -- until and after Deadspin broke the story January 16 that Lennay Kekua didn't exist, despite Te'o's repeated references to her and her death in interviews -- the Notre Dame star player admitted feeling embarrassed, scared and overwhelmed.

Notre Dame star Manti Te'o

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In his first on-camera interview since then, Te'o said that, publicly, he'd always been truthful.

"For people feeling that they were misled, that I'm sorry for," he told Katie Couric, on an episode of her talk show that aired Thursday. "I wasn't as forthcoming about it (as I could have been).

"But I didn't lie."

Then why, Couric asked, had he said the two met through his cousin and at a game his sophomore year, when he now says she had reached out to him on Facebook? Why had he told his father that he and Kekua had gotten together once in Hawaii?

And why hadn't he had stronger doubts before this winter? Like how, in their FaceTime chats, her screen always appeared black? Or how every in-person meeting they set up fell through, like when she was hospitalized or the time her brother had borrowed her car?

Or how odd was it that, in the months he'd gotten to know her well, a 22-year-old woman had a near-death accident then came down with cancer? And through all her struggles, why didn't he visit her once in the hospital -- even when he was in Southern California, like her, and she was in a coma?

Te'o said he understands why people might doubt their relationship, and him. But he told Couric that his feelings in the relationship -- and after the supposed death -- were authentic.

"What I went through was real. The feelings, the pain, the sorrow ... that was all real," said the standout linebacker and Heisman runner-up. "That's something I can't fake."

Te'o admits lying to father, not to others

The two, Te'o at Notre Dame and Kekua at Stanford University, first got acquainted his freshman year, after she reached out to him on Facebook, he said. Those first few years, they would converse but "it was a friend relationship," Te'o told Couric.

Their relationship began to go to another level, he explained, during his junior year. As it did, Te'o admitted to having his doubts, even reaching out to some others to confirm Kekua was real.

"That was my way of saying, 'Oh she's real, they met her, they've seen her,'" Te'o said of his conversations with friends. "This girl who was in the pictures, and this girl I was talking to must be the same."

But while they talked for hours, they never met face-to-face. Once, Kekua told Te'o she was in his home state of Hawaii, and the two planned to meet. He told Couric she had told him her brother had her car and she couldn't drive to him, but invited him to her hotel.

That meeting never panned out. Still, the next morning, Te'o admitted telling his father the two had, in fact, seen each other. Brian Te'o later mentioned in interviews how his son had met up with Kekua in Hawaii.

That conversation with his father, Te'o told Couric, was "the biggest lie."

"That's the thing I regret most," he said. "That's my way of trying to get my dad's approval of this young lady. Because I knew if he knew I didn't meet her, he would immediately just say no, (it is a) red flag that I obviously should have seen."

The relationship continued. On the talk show "Katie," tapes were played of voice mails left by the woman Te'o said he thought was Kekua. In one, she talked about starting her first session of chemotherapy. In another, she suspiciously called him out after she said another woman answered his phone. In another, she wished him good night: "I'll talk to you tomorrow. I love you so much hon. Sweet dreams."

In an off-camera interview January 18 with ESPN, Te'o said a man named Ronaiah Tuiasosopo was behind the hoax, saying Tuiasosopo had called him earlier this month to apologize. While Tuiasosopo or his father haven't talked publicly, his uncle recently defended him, saying, "It definitely takes two to tango."

Responding to reports Kekua may have been voiced by Tuiasosopo, Te'o said, "It sounded like a woman, but if (a man) somehow made that voice,... that's incredible talent to do that, especially every single day."

A near-death accident then a bout with leukemia

They planned to meet while he was in San Diego, but then she was severely injured in April after being struck by a drunk driver, Te'o said. He could have missed his flight to either Los Angeles or, eventually, Hawaii to be with her, but he didn't.

Manti Te'o denies he was part of girlfriend hoax

"It was a conversation that I didn't want to have with my parents," Te'o told Couric. "To say, 'Uh Mom, Dad, I missed my flight ... because I'm going to see Lennay in the hospital.' "

While she was in a coma at the hospital, Te'o said her relatives held a phone up to her ear and he talked. Nurses said the sound of his voice would cause her breath to quicken, and he'd hear the respirator and "the machines. It was very real."

She awoke from the coma, he said, as he was talking -- whispering his name and causing him to jump for joy, feeling he'd helped her.

"It goes back to what my parents taught me, to always be there for somebody when they need help," Te'o said.

There were more talks in the subsequent months, not just between the two but also involving Te'o's family. He said he was most hurt, most ashamed because the apparent hoax hurt not just him, but his father and mother.

"The belief in this person, the deception, wasn't only with Manti, it was our entire family," his mother, Ottilia Te'o, told Couric. "We had conversations with this person. So in our mind, we had followed the same pattern as Manti."

Te'o: 'I was just scared and I didn't know what to do'

Te'o said he was told that, on September 12, Kekua suddenly started to breathe hard, to sweat and, at 10:47 p.m., she died.

That was the same day his grandmother died. Three days later, he led the Fighting Irish to a 20-3 rout of Michigan State, saying he had been inspired to honor the two women with his play.

"I miss 'em, but I know that I'll see them again one day," he told ESPN at the time.

Even in death, Kekua continued to come up in interviews and elsewhere. She was part of Te'o's story.

Then came the December 6 phone call, from a woman he first thought was Kekua's sister. But then, he recalled, "She said, 'No Manti, it's Lennay.' "

"There was a long silent pause," Te'o said. "And I was angered to say the least."

Despite his renewed doubts, he kept talking -- including at the Heisman presentation on December 8, when he referred to his girlfriend losing her battle with cancer. A Twitter picture sent later that month showing the girl he thought was Kekua, holding a sign with that day's date, convinced him it was all a lie.

But he still didn't know what to do, or what to say.

"Part of me was saying if you say that she's alive, what would everybody think? What are you going to tell everybody who followed you, who you've inspired? What are you going to say?

He added: "I was scared. That's the truth. I was just scared, and I didn't know what to do."

On Christmas Day, he sat down with his parents in Hawaii.

Parents defend Te'o: 'He's not a liar, he's a kid'

This conversation led to one with Notre Dame coaches and administrators. But the school was mum until the Deadspin story came out.

That was followed by many stories as well as speculation about what happened and why. Did Te'o help concoct the hoax to promote his Heisman hopes? He said no. Did he help invent this relationship because he's gay? That, too, isn't true, he said.

It's uncertain how this scandal will affect his standing in the upcoming NFL Draft, set for April. Te'o said he's hoping for the best, though most disappointed in how he's hurt his family.

"The greatest joy in any child's life is to make your parents proud," he said. "The greatest pain is to know that they are experiencing pain because of you."

On the "Katie" show, his mother said she's proud of how her son has handled this entire situation -- saying that, in befriending who he thought was Kekua, he showed he "always puts others before himself."

His father said it's easy to spot the red flags in retrospect. But he said this ordeal hasn't rattled his faith in his son.

"He's not a liar. He's a kid," Brian Te'o said. "He's a 21-year-old kid trying to be a man."

CNN's Eliott C. McLaughlin contributed to this report.

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Battery expert: "I would not fly in a Dreamliner"

(CBS News) WASHINGTON - Investigators say they still don't know what caused batteries to burn in two Boeing 787 Dreamliners, and until they figure that out and how to fix the problem, none of the planes will be allowed to fly.

More than any other plane, the Dreamliner relies on lithium ion batteries to help power its advanced electrical system. They're lighter and more powerful than older battery types, but they contain a highly flammable liquid electrolyte.

U.S. officials defend handling of 787 mishaps

Boeing 787 probe turns to battery companies

Boeing plans to carry on with Dreamliner production

Federal investigators are examining the disassembled battery from the 787 that caught fire in Boston January 7, spewing molten electrolyte.

George Blomgren worked for Eveready, a batteries and flashlights company, for 40 years. He says lithium ion batteries are bundled together for the 787, and that increases the risk.

"These fires burn at very high temperatures, so they are just very dangerous fires," he said.

George Blomgren, a battery expert for Eveready

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CBS News

The Boston fire, and the burned-out battery on a Dreamliner in Japan, is not the first time lithium ion batteries have caused problems.

In 2011, a Chevy Volt lithium ion battery was damaged in a crash test. Three weeks later, it burst into flames. Chevrolet installed a number of fixes to prevent fires.

Safety features also were added to lithium ion batteries in some cell phones and laptops after 56 million were recalled for risk of overheating and exploding.

Boeing says lithium ion batteries "best met the performance and design objectives of the 787" and "Based on everything we know at this point, we have not changed our evaluation."

Blomgren considers the safety of lithium ion batteries on planes questionable.

"From what I know about incidents, I would not fly in a Dreamliner tomorrow. I just wouldn't feel that it was appropriate or safe," Blomgren said.

Many experts believe in the promise of lithium ion batteries, including for airlines, but they just aren't sure its safety has been perfected.

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It's Official: Women Will Serve in Combat

Women will soon be able to serve in combat, as things officially changed with the stroke of a pen today at the Pentagon.

At a joint news conference, Secretary of Defense Leon Panetta and Joint Chiefs of Staff Charman Gen. Martin Dempsey signed a memorandum rolling back a 1994 directive prohibiting women from doing so.

"They serve, they're wounded, and they die right next to each other," Panetta said of women and men in the military. "The time has come to recognize that reality.

"If they're willing to put their lives on the line, then we need to recognize that they deserve a chance," Panetta said, noting that he wants his own granddaughters and grandsons to have the same opportunities in their lives and careers.

The change won't be immediate, however. While Panetta announced that thousands of new positions will now be open to women, he has asked the military branches to submit plans by May on how to integrate women into combat operations. He set a January 2016 deadline for branches to implement the changes, giving military services time to seek waivers for certain jobs.

Both Panetta and Dempsey said they believe the move will strengthen the U.S. military force.

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"Ultimately, we are acting to strengthen the armed forces," Dempsey said. "We will extend opportunities to women in a way that maintains readiness, morale and unit cohesion."

Women have already served in combat in Iraq and Afghanistan, as ABC News' Martha Raddatz and Elizabeth Gorman reported in 2009: Prohibited from serving in roles "whose primary mission is to engage in direct combat on the ground," women in support roles, nonetheless, served in support roles on the frontlines, where they have fought, been wounded and died.

Women have also flown combat missions since 1993 and have served on submarines since 2010.

Panetta noted that 152 women have died serving in the U.S. military in Iraq and Afghanistan. Dempsey said he realized a change was inevitable when he noticed two female turret gunners protecting a senior military officer.

"It's clear to all of us that women are contributing in unprecedented ways to the military's mission of defending the nation," Panetta said. "Women represent 15 percent of the force of over 200,000 [and] are serving in a growing number of critical roles on and off the battlefield.

"I've gone to Bethesda to visit wounded warriors, and I've gone to Arlington to bury our dead. There's no distincton."

Panetta and Dempsey said President Obama supported the move, while warning them to maintain military readiness as they considered the change.

Obama hailed the move in a written statement

"Today, by moving to open more military positions -- including ground combat units -- to women, our armed forces have taken another historic step toward harnessing the talents and skills of all our citizens," he said.

"This milestone reflects the courageous and patriotic service of women through more than two centuries of American history and the indispensable role of women in today's military," Obama said.

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Benghazi blame-game is useless

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STORY HIGHLIGHTS

• Anthony Cordesman: Questions for Hillary Clinton on Benghazi attack inevitable, important


• But political blame game useless, a discouraging message to diplomats, military advisers, he says


• He says in hindsight, warnings, pleas for support mistakenly make crisis seem obvious


• Writer: U.S. must focus forward: encourage, support risk-takers doing crucial work in field

Editor's note: Anthony H. Cordesman holds the Arleigh A. Burke Chair in Strategy at the Center for Strategic and International Studies. Follow CSIS on Twitter.

(CNN) -- Politics are politics, and partisan congressional challenges over the death of Ambassador Chris Stevens and other Americans in Benghazi, Libya, last September were inevitable.

But while some of the questions Secretary of State Hillary Clinton was asked in her appearance before the Senate Foreign Relations Committee bordered on politics at their worst, some represented democracy at its best: A legitimate challenge of how the government works. The fact is, we do need to ask serious questions about the way our diplomats function, how they are deployed and protected.

In her responses, Clinton took responsibility, as the top official in every department always must. The question now, however, is what, if anything, will we really learn from the events that led to the deaths of Stevens and his colleagues?

Anthony H. Cordesman

Do we actually learn something from their courage and sacrifice, and the similar experience of other American diplomats and officers that have faced similar attacks in the past? Or do we go on playing a pointless blame game, creating a climate that discourages our diplomats, U.S. military advisory teams and intelligence officers from taking necessary risks -- and relies even more on fortifying our embassies.

Three lessons here. The first: Virtually every post mortem that relies on the blame game has the same result. There is always someone who asked for more resources and warned of the risk before the event. There are always enough intelligence indicators so that once you go back -- knowing the pattern of actual events -- it becomes possible to predict the past with 20-20 hindsight.

The problem is that the post mortems and hearings tend to be useless. Every prudent security officer has always asked for more; the indicators that could provide warning with 20-20 hindsight will still be buried in a flood of other reporting that warns of crises that don't take place; U.S. officials will still have to deal with what intelligence experts call "noise" -- the vast amount of reporting and other data that make it impossible to sort out the right information until the event actually occurs and the patterns are known. All of this makes it hard to know what request or warning ever matters.

Opinion: Algeria hostage crisis shows jihadists on rise

Yes, intelligence and warning can always be improved if the post mortem is realistic and objective. But the resulting improvements will never be enough. No one will ever assess all the risks correctly, U.S. diplomats and other Americans will be vulnerable when they operate in a hostile environment, and risk-taking will remain inevitable.

The second lesson is that we cannot deal with crises like the political upheavals in the Arab world, or the more direct threats that countries like Iran and North Korea can pose, unless our diplomats and military advisers take risks -- and more casualties -- in the process.

Stevens and those around him did what had to be done. These are the teams that can help lead unstable countries towards democracy and stability. They are the crucial to our counterterrorism efforts in the field and to building up the military security capabilities of developing states. They are key to uniting given factions, creating effective governance, and persuading states to move toward development and greater concern for human rights.

They can only be effective if they are on the scene, work with the leaders and factions involved, and often go into harms way where there are terrorist and military threats. Like Stevens, they cannot wait for perfect security, stay in a safe area, or minimize risks and deal with the realities of Libya, filled with local power struggles, extremist elements and potential threats.

We need risk-takers. We need them in any country that is going through the kind of upheavals taking place in Libya, as well as in countries where our enemies operate, and semi-war zones like Afghanistan, Iraq, Somalia, Syria, and Yemen. We need diplomats, U.S. military advisory teams, and intelligence officers that reach far beyond our embassies and go into high risk zones. We need to reward and honor those risk-takers, not those who shelter in safety and avoid the risks they should take or fear their career will be damaged if anyone is killed or hurt.

Opinion: Algeria crisis is a wakeup call for America

The third lesson is that we do need to steadily strengthen our ability to provide secure mobility, better intelligence, better communications, and better protection for those diplomats, U.S. military advisory teams and intelligence officers. We need to be able to better provide emergency help to those American NGO personnel and businessmen who take similar risks.

We need both an administration and a Congress that look beyond the blame game and understand that some things are worth spending money on. We need them to understand that what we once called the Arab Spring is clearly going to be the Arab Decade, and we face different but equally real risks in the field in Asia, Africa, and Latin America.

It is far better -- and cheaper even, in the medium term -- to fund strong U.S. country teams, military advisers, counterterrorism teams and development efforts than to let nations collapse, to let extremists take over, to lose allies, and see American NGOs and businesses unable to operate.

We need to see what new methods and investments can protect our people in the field and reduce the risks they should be taking. The answer may be special communications, intelligence system, helicopters and armored vehicles, emergency response teams and new career security personnel to replace contractors and foreign nationals.

What the answer is not is partisan blame, risk avoidance, punishing those who do take risks for the result, and failing to make the improvements in security for risk takers -- while building larger fortress embassies. If you want to honor the Americans lost in the line of duty, focus on the future and not the past.

The opinions expressed in this commentary are solely those of Anthony Cordesman

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Is it a bird? A plane? No, just a guy named Oscar

BUENOS AIRES: He was a self-styled superhero, prowling the gritty outskirts of Buenos Aires wearing a mask and cartoonish outfit and armed only with a flashlight, compass and pepper spray as he took on bad guys.

But now his cover is blown, thanks to an alleged shootout with muggers, and the superhero is charged with carrying an unlicensed gun, police said Wednesday.

The man who called himself Menganno -- Spanish for Joe Blow -- and became famous in Argentine media is actually one Oscar Lefosse, 43, a former cop who served from 1986 to 1996. It turns out his gun license expired a year ago.

On Monday, Lefosse told police that three petty criminals opened fire on his car as he drove with his wife. He returned fire with his Glock pistol.

On his Facebook page, "Menganno" -- 33,000 followers -- posted a photo of what he said was his bullet ridden car.

But a policeman quoted by the news agency Telam said the shots all came from inside the car.

"He could have killed somebody, an innocent bystander. He is irresponsible," the official said.

In an interview with AFP in 2010, Menganno described himself as "a real, flesh and blood superhero. My goal is for all of us to be better and show more solidarity. Injustice makes me sick."

He said then that he only defended himself with a flashlight, pepper spray and a compass, and had a company in the security sector. He did not elaborate.

"I do not walk around the street armed. I keep my gun at home," he said Wednesday on Argentine TV.

Lefosse used to hide his identity behind a mask that was a mix of dark and baby blue and coordinated nicely colour-wise with a Superman style suit he wore, with a symbol on his chest to boot.

-AFP/fl

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Romney to be honored Friday at D.C. luncheon

Mitt Romney will make it to Washington, D.C. for inauguration week after all.

The 2012 GOP presidential nominee and his wife Ann are scheduled to attend a luncheon in their honor Friday at Washington's J.W. Marriott hotel, National Journal reported this afternoon. The reception will be hosted by two of Romney's biggest campaign fundraisers: Virginia philanthropist Catherine Reynolds and hotel tycoon Bill Marriott, Jr.

Romney, a longtime friend to the Marriott family, serves on Marriott International's board of directors. While on the trail, he and his traveling staff stayed almost exclusively at Marriott hotels.

Having opted to spend Inauguration Day at his home in La Jolla, Calif., on Monday, Romney became the first presidential nominee since Michael Dukakis in 1989 to not attend the ceremonial event. But he's made at least one appearance in the nation's capital since the election: Several weeks following his loss, he enjoyed a lunch of white turkey chili with President Obama at the White House.

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Defterios: What keeps Davos relevant

STORY HIGHLIGHTS

• Since the late 20th Century, the ski resort of Davos has been synonymous with the World Economic Forum


• Defterios: I first came to Davos as a relatively junior correspondent, two months after the Berlin Wall fell


• Fall of Communism, China's opening, removal of apartheid in South Africa unfolded in the 90s
  
  


• It's the inter-play between geo-politics and business is what keeps the forum relevant

Davos (CNN) -- Veterans of Davos often refer to nature's awe-inspiring work as the Magic Mountain.

The name comes from an early 20th century novel by Thomas Mann -- reflecting on life in an alpine health retreat, and the mystery of time in this breath-taking setting.

Read more from John Defterios: Why Egypt's transition is so painful

Since the late 20th century, this ski resort has been synonymous with the World Economic Forum, which represents networking on its grandest scale.

This year nearly 40 world leaders -- a record for this annual meeting -- 2000 plus executives and it seems an equal number of people in the media, like yours truly, are in pursuit of them all. The setting is certainly more chaotic then a decade ago. The agendas of the Fortune 500 chief executives are to filled with bi-lateral meetings and back door briefings to allow for the spontaneity that made this venue unique.

Davos gets ready for leaders' gathering

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I first came to Davos as a relatively junior correspondent in 1990, two months after the fall of the Berlin Wall. It was arguably then, after nearly two decades in the conference business, when the forum became a fixture on the global calendar.

Quest: U.S. economy to dominate Davos 2013

I can remember, quite vividly, working out of a bunker (like we do today) in the Davos Congress Centre. West German Chancellor Helmut Kohl sat side-by-side with his East German counterpart Hans Modrow. That meeting before the global community helped set the stage for monetary union, a huge unification fund for what became Eastern Germany and shortly thereafter German elections.

The early 90s at Davos were dominated by European reconstruction after the fall of communism. Former party bosses came to the forum to convince business leaders that a transition to market economics could be delivered. Boris Yeltsin made his Davos appearance during that chaotic transition from the USSR to today's Russia.

Davos 2013: New year, same old problems?

In 1992, Chinese Premier Li Peng used the setting here in the Alps to articulate plans for the country's economic opening up to the world. Not by chance, the architect of Washington's engagement with Beijing, the former U.S. Secretary of State Henry Kissinger also took a high profile that year.

Again only two years later in 1994, Yasser Arafat and Shimon Peres walked hand in hand on stage, holding a public dialogue leading up to the creation and recognition of the Palestinian Authority.

The World Economic Forum, as the saying goes, was positioned to be in the right place at the right time. While the author of the Magic Mountain talked about the complexity of time around World War I, in the 1990s time was compressed here.

The fall of communism, the lowering of global trade barriers, the opening up of China, the removal of apartheid in South Africa and the proliferation of the internet all unfolded in that decade.

Interactive: How's your economic mood?

As those events came together, so too did the major players as they made the journey to Davos. Michael Bloomberg, evolving as a global name in financial data and now the Mayor of New York City, sat alongside Microsoft CEO Bill Gates. U.S. President Bill Clinton outlined his party's historic move to the political center before a packed audience of global business executives.

To spice things up, rock stars and actors, as they became activists, chose the Davos platform: Bono, Richard Gere, Sharon Stone, Brad and Angelina would have the wealthiest and most powerful corporate titans freeze in their tracks.

Earlier this week, I walked into the main plenary hall as workers put the final touches on the stage and lighting. It is a venue which has welcomed countless political leaders and business executives, during internet booms and banking busts, in the midst of a Middle East crisis and even during the lead up to two Gulf Wars.

But that inter-play between geo-politics and business -- during the best and worst of times -- is what keeps the forum relevant. It allows this setting at the base of the Magic Mountain to endure and recreate something unique during what Mann rightly described as the ongoing complexity of our times.

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Australian man cleared of molestation charge after public apology

SINGAPORE: An Australian man has been cleared of a charge of molesting a purchasing officer.

This came after Mr Kevin Francis D'arcy, 59, made a public apology in a local English daily on January 19 as requested by the woman.

The incident happened on August 31, 2012 in Boat Quay.

Mr D'arcy apparently squeezed the buttock of the 32-year-old woman, who was clubbing with her sister and friend.

-CNA/ac

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Tapper talks Benghazi and his book

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Netanyahu likely clings to job in Israel election

JERUSALEM Israel's parliamentary election ended Wednesday in a stunning deadlock between Prime Minister Benjamin Netanyahu's hard-line bloc and center-left rivals, forcing the badly weakened Israeli leader to scramble to cobble together a coalition of parties from both camps, despite dramatically different views on Mideast peacemaking and other polarizing issues.

Israeli media said that with 99.8 percent of votes counted on Wednesday morning, each bloc had 60 of parliament's 120 seats. Commentators said Netanyahu, who called early elections expecting easy victory, would be tapped to form the next government because the rival camp drew 12 of its 60 seats from Arab parties who've never joined a coalition.

A startlingly strong showing by a political newcomer, the centrist Yesh Atid party, turned pre-election forecasts on their heads and dealt Netanyahu his surprise setback.

Yesh Atid, or There is a Future, a party headed by political newcomer Yair Lapid, is now Netanyahu's most likely partner. Lapid has said he would only join a government committed to sweeping economic changes and a resumption of peace talks with the Palestinians.

Addressing his supporters early Wednesday, Netanyahu vowed to form as broad a coalition as possible. He said the next government would be built on principles that include reforming the contentious system of granting draft exemptions to ultra-Orthodox Jewish men and the pursuit of a "genuine peace" with the Palestinians. He did not elaborate, but the message seemed aimed at Lapid.

Shortly after the results were announced, Netanyahu called Lapid and offered to work together. "We have the opportunity to do great things together," Netanyahu was quoted as saying by Likud officials.

Netanyahu's Likud-Yisrael Beitenu alliance was set to capture about 31 of the 120 seats, significantly fewer than the 42 it held in the outgoing parliament and below the forecasts of recent polls.

With his traditional allies of nationalist and religious parties, Netanyahu could put together a shaky majority of 61 seats, results showed. But it would be virtually impossible to keep such a narrow coalition intact, though it was possible he could take an additional seat or two as numbers trickled in throughout the night.

The results capped a lackluster campaign in which peacemaking with the Palestinians, traditionally the dominant issue in Israeli politics, was pushed aside. Netanyahu portrayed himself as the only candidate capable of leading Israel at a turbulent time, while the fragmented opposition targeted him on domestic economic issues.

Israeli actor, journalist and author Yair Lapid, leader of the Yesh Atid party, speaks to supporters, Jan. 23, 2013 at his party headquarters in Tel Aviv.

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Netanyahu's goal of a broader coalition will force him to make some difficult decisions. Concessions to Lapid, for instance, will alienate his religious allies. In an interview last week with The Associated Press, Lapid said he would not be a "fig leaf" for a hard-line, extremist agenda.

Lapid's performance was the biggest surprise of the election. The one-time TV talk show host and son of a former Cabinet minister was poised to win 19 seats, giving him the second-largest faction in parliament.

Presenting himself as the defender of the middle class, Lapid vowed to take on Israel's high cost of living and to end the contentious system of subsidies and draft exemptions granted to ultra-Orthodox Jews while they pursue religious studies. The expensive system has bred widespread resentment among the Israeli mainstream.

Thanks to his strong performance, Lapid is now in a position to serve as the kingmaker of the next government. He will likely seek a senior Cabinet post and other concessions.

Yaakov Peri, a member of Lapid's party, said it would not join unless the government pledges to begin drafting the ultra-Orthodox into the military, lowers the country's high cost of living and returns to peace talks. "We have red lines. We won't cross those red lines, even if it will cost us sitting in the opposition," Peri told Channel 2 TV.

Addressing his supporters, a beaming Lapid was noncommittal, calling only for a broad government with moderates from left and right. "Israelis said no to the politics of fear and hatred," he said. "And they said no to extremism and anti-democracy."

There was even a distant possibility of Lapid and more dovish parties teaming up to block Netanyahu from forming a majority.

"It could be that this evening is the beginning for a big chance to create an alternative government to the Netanyahu government," said Shelly Yachimovich, leader of the Labor Party, which won 15 seats on a platform pledging to narrow the gaps between rich and poor.

Although that seemed unlikely, Netanyahu clearly emerged from the election in a weakened state.

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