The AAA chipset was going to get canned and Commodore was thinking of dropping their own operating system in favor of the PowerPC version of Windows NT. Even if they hadn't gone belly-up they still would have made a terrible mess of things and still gotten it wrong. Management at Commodore towards the end was outright anti-Amiga and pro-PC.
My opinion: Commodore was doomed in many ways at once. It would have gone under one way or another anyhow.