Mr Netanyahu's comments have sparked an uproar from families of Israeli hostages held by Hamas since last October.
In an television interview broadcast late on Sunday, the Israeli leader said he was "prepared to make a partial deal - this is no secret - that will return to us some of the people," a reference to the roughly 120 hostages still held in the Gaza Strip.
Mr Netanyahu added: "But we are committed to continuing the war after a pause, in order to complete the goal of eliminating Hamas. I'm not willing to give up on that."
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