It managed to live because of its potent basic design and thousands of rabid Amiga fans who would rather switch to a typewriter than a PC or Mac. The Amiga died because Commodore denied it growth, support or even respect. ... The Amiga appeared just as the Macintosh was failing, losing sales after the initial enthusiasm.

Why did the Amiga fail?

The reason the Amiga failed was because it was cheap and manufactured by a toy company. For all the might and mighty graphics & sound (of the day) it sported, businesses wanted nothing to do with cheap plastic machines that had limited expansion.

What happened to the Amiga?

But by 1995, after several iterations of Amiga and years of questionable decisions by the Commodore company, the Amiga brand closed up shop. In the two decades since then, the rights to the computer and its software suite have been sold off and stuck in legal purgatory.