Soviet Union established the autonomy in the Tskhinvali region after occupying Georgia in the 1920ies. As of 1986, the region had about 90 thousand inhabitants, of which about 60 thousands were ethnic Ossetians and 30 thousand Georgians.
For decades Ossetian minority has been living side by side with Georgians, all around Georgia, without any notable complications.
After the crush of the Soviet Union, separatists supported by Russian military established control over a big part of the territory. At the same time, a big part of Ossetian ethnic minority remained on the Georgian side, in various places, including Georgian capital and the region itself, and lived peacefully.
Separatist and Russian forces constantly kept attacking Georgian controlled and Georgian populated villages in the region.
As the Olympiad approached, the attacks on the Georgian controlled villages became more intensive. Georgian forces responded and forced the Russian-backed separatists out of their positions. Later Georgian side proposed a cease-fire, however, new military attacks from Russia followed. Georgian military responded again.
On that stage Russia started open military aggression.
South Ossetia, as a source of instability in the region, has been used by Russia as a tool of pressure on Georgia (along with Abkhazia) since the breakdown of the Soviet Union.
It’s evident that separatist forces have been controlled by Russia. Not only the separatist leaders have been visiting Moscow frequently, but their government also included some former Russian generals.
At the current stage of the Russian military invasion the separatists don’t play any significant role in the conflict. As already shown, the whole population on the territory controlled by the separatists was less than Russian 58th army.