I remember it a little differently. Maybe my brain is addled after so many years but I recall the CD32 was a last-ditch quick-and-dirty attempt to get a product that would sell, and was a surprising success. It was just that C= were already pretty much dead, the banks were circling and they couldn't finance building enough of them to haul themselves out of the pit they were already in.
They were in that mess by various management regimes dithering about what they should be making next. There are hundreds of stories about products in the very late stages of design that got canned, and/or replaced/redesigned to products that then bombed (such as the aforementioned CDTV). It seems really only the C64 and Amiga actually got through the management BS to get onto the market, and they dined out on that for far too long.
Another story I remember reading was about ESCOM, the only company that bought the Amiga and really actually did something with it. I understood that they re-introduced the aging A1200 & A4000s via ESCOM stores, and - perhaps surprisingly again - were selling modestly, but they were looked upon with disdain by the vast majority of PC-familiar sales dudes and weren't pushed as they might have been. However the profit on the Amigas was so much better than the generic PCs they were selling that if they had pushed them more, or in most cases actually set them up demo-ing something, ESCOM might still exist, as might Amiga in some form.
Rather than the hardware though, which of course just dates by years passing, I mourn the loss of AmigaOS which while dated in many respects still has a lot of stuff nobody seems to have learned. I'll use modern OSes accepting clicks (or taps) on GUI elements that weren't even on screen at the time of the click/tap as an everyday example. Crazy stuff.