Apparently the move by the Pakistani government to allow Sharia law in Swat has only emboldened the Taliban. Big surprise. In the original article I read on this early today, a commenter suggested a relationship between Pakistan's desire for further substantial US aid and their handling of the Taliban. In short, the commenter suggested that the Taliban are good business for many in the Pakistani government. An interesting thought.
I wouldn't be surprised if a significant amount of that US aid finds it's way into the hands of the Taliban or it's sympathizers in the end. The US could well be financing both sides of the struggle to a large extent.