The Iraq War Is not Yet Lost
The war is not lost because Bush has never honestly defined victory.
Considering the status in Iraq, it is fairly clear that what Bush is after is control of Iraqi oil by Exxon-Mobil and BP (British Petroleum). This may yet happen. This would serve two objectives: give the U.S. and the U.K. assured supplies of oil at a very low cost and very importantly, keep Iraq's oil out of the hands of China.
That is the reason for the huge military bases and the huge embassy that the U.S. is building in Iraq. It is also the reason for Iraq's Oil Law which may or may not be approved by the Iraqi "government."
That has been Bush's objective all along -- good old imperialism. Bush has never admitted it because it is shameful and probably illegal to expend American lives and Treasury funds for the private gain of corporations -- but that's the old story imperialism -- American and British.
The war is not over and the next U.S. President (being much smarter and much better negotiator than George W. Bush and Cheney combined) may yet figure out a way to pacify the Iraqi militias and win rich contracts for Exxon-Mobil and BP.
It's too soon to say that the war is lost.