It has massed troops on the Somali border. Islamist militias have threatened retaliation if Kenya acts.
Less than a year after fleeing in the face of an Islamist insurgency, Ethiopian forces have come back to help prevent a moderate government from collapsing at the hands of militant Islamists.
The fiery Sheikh Dahir Aweys may be ready to hash out a peace deal, following weeks of fighting the moderate government of Sheikh Sharif Ahmed.
After five days of assault by better-armed Al Shabab militiamen, pro-government fighters have apparently begun to retreat.