Aftermath and Consequences
In order to forestall intervention by France or Russia, Bismarck pushed King William I to make peace with the Austrians rapidly, rather than continue the war in hopes of further gains. The Austrians accepted mediation from France's Napoleon III. The Peace of Prague on August 23, 1866 resulted in the dissolution of the German Confederation, Prussian annexation of many of Austria’s former allies, and the permanent exclusion of Austria from German affairs. This left Prussia free to form the North German Confederation the next year, incorporating all the German states north of the Main River. Prussia chose not to seek Austrian territory for itself, and this made it possible for Prussia and Austria to ally in the future, since Austria was threatened more by Italian and Pan-Slavic irredentism than by Prussia. The war left Prussia dominant in Germany, and German nationalism would compel the remaining independent states to ally with Prussia in the Franco-Prussian War in 1870, and then to accede to the crowning of King Wilhelm as German Emperor. The united German states would become one of the most influential of all the European countries.
Read more about this topic: Austro-Prussian War
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