I'm Russian, so feel free to disregard everything I'm going to write below as biased.
Now, I've been watching this conflict very closely and, while I'm deeply concerned about the loss of civilian life, this is exactly where everything was going for a while.
During Soviet times, SO(South Ossetia) was an autonomous part of Georgia. in the 90's, GO wanted to keep SO, while SO wanted independence, so they started a war. Eventually SO declared an independence(with our help), but no one really recognized it, so de-facto it stayed a part of GO, with RU, GO and SO peacekeepers in there.
Now things were OK for a while, with fighting every now and then, but nothing big. Then Saakshvili came. Part of his campaign promise was to reintegrate SO, he even appointed "Reintegration Minister" Obviously he had a strong US backing, but, regardless, so far he's been unsuccessful with his promise
Few weeks ago, random rocket shootings from SO separatists restarted, but only after 5 years of worsening RU/GO relations. So, on the eve of olympics, GO breaks "Olympic Truce" and starts bombarding Tsshinvali(SO capital) with Grad(dunno what you call it in english, but basically it's the thing that fires bunch of rockets at once, kinda like smaller scale carpet bombing), then they move troops in, destroy 8 villages, all while continuosly bombing Tsshinvalli(TS). So they kill a fuckload off SO citizens(93% of whom have RU passports -- we gave out passports left and right for last few years, purely political move), AND 8 Russian peacekeepers. Medvedev was like W.T.F?!
We called for a UN session, they were completely worthless, couldn't even come up with a statement regarding the issue. Meanwhile SO reported 1000+ civilians dead and 10 RU peacekeeprs dead, and 30 wounded. So we moved in.
We've been fighting GO for the last 2 days now, bombing their military bases, ports, and cities with strong military presence. There have been about 300 civilian casualties on GO side. Given that, our troops have not crossed SO/GO border. We demand complete GO withdrawal from SO, AND signing of a non agression commitment.
Now my two cents.
Saak. had US backing. Likely he got an OK to raise some pulses, but being a delusional bastard he is, he desided that it was a good time to fulfill his promised. But US didn't think so. So when US didn't really backed him on that an RU got REALLY pissed, he got proper fucked. What happens now, I don't know.
Also, Time has a good article on this
http://www.time.com/time/world/article/0,8599,1831073,00.html
EDIT: Oh yeah, I just read that we're moved our Navy up to the GO border too. I really hope we stop soon. GO had enough.