He seems to be using--possibly correctly; I have no particular knowledge here--a pretty narrow definition of Zionism. Having an ethnic homeland is not nothing.
Israel should join the EU.
Okay, so having a homeland is no big deal, because we're in a global age where the cool kids like to live all over the world. Heck, wanting your own country is even kind of gauche; it reeks of narrow-mindedness, jingoism, and backwards thinking.
Unless you're Palestinian, of course.
There's a difference between wanting a 'homeland' and wanting to be allowed to be a full citizen of whatever country is adminstering the spot where you live. The second desire is one that I think everyone is reasonable in wanting. The first one leads to problems.
semi-OT: http://www.slate.com/id/2190776/?from=rss
Noah's cluelees, but not horribly rightwing or hawkish by temperament. He's relying on other people who he regards as authorities, and there's no little voice telling him "hang on". It's so indicative of the semi-imperialist mindset and general foolishness of the punditocracy.