The Pakistani government finally had enough of U.S. meddling and took a stand:

Two top US officials, presidential envoy for the region Richard Holbrooke and Chairman of the Joint Chiefs of Staff Admiral Mike Mullen, had come to Islamabad with the idea of doing some tough talking and pressuring both the political and the military leadership to step up their efforts in the war on terror. Instead, what they got was a barrage of criticism of the American position and the allegations constantly levelled against Islamabad about either protecting some Taliban elements or not doing enough to eliminate what the United States believes are the main elements carrying out attacks on Nato forces in Afghanistan.

According to a source in the US delegation, the stance taken by the Pakistani side came as a rude shock to the Americans, who had so far been taking the civilian and military leadership for granted.
…

[Foreign Minister Shah Mehmood] Qureshi’s message perhaps could not have been more unequivocal; he stated that cooperation could continue only if balance and respect were restored to the relationship.

“We can only work together if we respect each other and trust each other. There is no other way and nothing else will work,” he said rather bluntly.
…
“We have certain expectations from the Friends of Democratic Pakistan. Most importantly, these expectations are not cents and dollars; rather it is the political support that Pakistan expects from them.”

The last sentence is a demand for support against India where Holbrooke arrived today and where he will not achieve anything.

The U.S. asked for common military operation in Pakistan's tribal areas, wanted to increase the nearly daily drone attacks and offered Pakistan a bit of money with lots of conditions attached. Meanwhile it admits that is no idea who it is fighting against in Afghanistan.

Pakistan says no to any common military operations, wants control over the drones and asks for $30 billion unconditional money over five years.

President Zardari, Chief of Staff Kiani, Prime Minister Gilani and his cabinet all agree with the new position. A bipartisan parliament committee on National Strategy also supports this:

[A] senior member of the committee, who also belongs to the PPP, said to Dawn that ‘The committee proposes substantial changes in the national strategy of combating terror which would reflect collective will of the parliament rather than continuation of a policy that was given by a military dictator under American dictates’.

That is quite a sea change in Pakistani behavior and I suspect that it has a lot to do with the general abusive U.S. behavior against Pakistan as reinforced by the arrogance of Holbrooke:

The normally urbane and mild-mannered Pakistani Foreign Minister, Shah Mahmood Qureshi, was firm and spoke in categorical terms.

Meanwhile, Richard Holbrooke chatted quietly with Admiral Mike Mullen – an act that, whatever the intention, was perceived as rude and contemptuous by those present.

The great new U.S. AfPak strategy is now in shambles and will have to be taken back to the drawing board. Pakistan will not play along and will not allow the planed widening of the Afghan war onto its grounds.If the U.S. tries to go there it will have to fight the Pakistani army.

That is good in my view. U.S. pressure on the tribal areas already brought the fight from there into Pakistan's main cities. More pressure and more fighting could easily lead to the destruction of the Pakistani state. That is not something anyone should wish for.