Prince Harry and Meghan Markle have just welcomed their newborn daughter named Lilibet Diana Mountbatten-Windsor. 

The name choice is a tribute to the two most important women in Prince Harry's life: her grandmother Queen Elizabeth, Lilibet, and his late mom, Princess Diana.

However, according to royal experts, the choice of name for the Duke and Duchess of Sussex's second child is more than just a tribute to them.

Instead, they claimed that it could be a gesture of peace amid the feud between the Sussexes' and the British royal family.

In the past couple of months, tension has been high between the Sussexes' and The Firm following the series of interviews they have given.

According to Dickie Arbiter, who served the Queen from 1988 until 2000, naming their child Lilibet "Lili," Diana could be a peace offering.

Daughter's Name is Prince Harry's Olive Branch? 

He told the UK Mirror, choosing this name is a complete about-face."

"So I wonder if taking the Queen's nickname for his baby is an olive branch? Only Harry can answer that."

Another insider, Duncan Larcombe, agreed that the name could be a possible olive branch.

He told The Sun, "By choosing the childhood name of the Queen, Harry and Meghan have given their daughter the most royal of names."

"To many, such a specific nod to Her Majesty will be seen as the first major olive branch offered by the Sussexes since Mexit. A sign perhaps Harry and Meghan are eager to build bridges."

READ ALSO: Prince Charles Thinks Meghan Markle Is 'Tough and Unbending,' Provides Duchess with a Very Apt Nickname

Lilibet Diana Could Fix Parents' Relationship With the Royal Family

With the arrival of Prince Harry and Meghan Markle's daughter Lilibet Diana, who is eighth in line to the throne, many royal experts believe it could spark a reconciliation with the British royal family.

According to royal columnist Tom Sykes who wrote on the Daily Beast that the birth of the Sussexes' second child offers a "pivotal opportunity for both the British royal family and the Sussexes' to move on from the very public washing of their dirty linen."

He also added how this moment of great and joyous news is an ideal chance for both parties to move on finally.

The writer believes that since Prince Harry and Meghan Markle may have started the feud, it's also crucial that they should be the ones to end.

Because this feud doesn't end, he thinks it will be massively damaging for the royal family and the Duke and Duchess of Sussex.

READ MORE: Queen Elizabeth II Might Never Strip Prince Harry of His Royal Titles -- Here's Why