Analysis: Al Qaeda seeks support for Islamic state in Iraq

WASHINGTON, Dec 22 (Reuters) - An al Qaeda campaign to establish an Islamist state in Iraq capable of rivaling the U.S.-backed government in Baghdad has drawn limited support from Sunni insurgents, intelligence sources and analysts say.

But its prospects could improve if sectarian violence between Iraq's Sunnis and Shi'ites spirals further out of control, increasing the likelihood that an al Qaeda safe haven could be created in the country, analysts say.

Fear of the militant group creating such a haven was one of the reasons cited by President George W. Bush for the 2003 invasion that toppled President Saddam Hussein and has remained a prime motive for the U.S. military presence in Iraq.

U.S. intelligence officials say the so-called Islamic State in Iraq, announced on Oct. 15, is more than a propaganda move by the Iraqi branch of Osama bin Laden's militant network.

"They're trying to form another government. They're fighting for legitimacy outside the current government set-up," said one intelligence official, who asked not to be identified because the matter involves classified information.

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