Runequester
Good thread. One of the main things that killed the amiga 3rd party software development both games and productivity was Rampart Piracy! 
I heavily disagree on the games' part of your statement. Game development ended because of three factors:
1) A500.
2) AGA introduced, somewhat late (1.5-2 years earlier would have made a small difference imho).
3) Commodore died.
Let me clarify, the A500 was the blessing and curse of the platform. By far the best seller of Amiga lines and a miracle machine for late 80s. Mostly geared towards users who couldn't afford to spent a small fortune to upgrade or buy a more powerful machine. The ECS chipset was stressed out with Superfrog as Team17 stated. Simply, no gaming company could make a better looking / faster scrolling game for the vast majority of amigans. Also, having no HD or CD (problems that partially continued pledging the A1200 as well) was a huge drawback. Looking back in 1993, I think that even Psygnosis had figured it out since that was the year they released the most titles for the PC, throughout their long history in the industry! The ERA where games would be coming on CDs was emerging. Bigger space was needed, HD space for storage was needed where most of the users in Amiga platform had neither.
The AGA chipset even when introduced was "too little too late". AGA couldn't compete in the long run with the GFX war pushing up the performance on the PCs. Companies such as Matrox, ATI, 3DFX introduced chipsets in 1995 that could crush AGA.
Commodore in order to kept going should invest humongous amount of money in R&D. Take a look on the titles released 3 years after A1200 and 2 years after Commodore died
http://www.csoon.com/top10096.htm . I mean, a huge upgrade on the GFX was needed, CPU at least at 100Mhz, HD/CD included, 32MB min Ram needed. Not even mentioning the improvements needed to be done on AOS so as to take advantage of all the above.
BTW, looking at the above link, there are games that not even my Samep667Mhz/OS4.1. can play truly flawlessly, with a modern FPS rate, lol.