you say they don't like to give away their power (i doubt any monarch is really liking that), even though bot franz ferdinand and Karl WANTED reforms, they just werent able to make any. Franz ferdinand died before he could do anything and would have had to crush the hungarian nobility, or it already got crushed in 1905 or earlier before he gets emperor. Emperor Karl was in the middle of a war, not the best time for reformations, and the hungarian nobility still hindered him from doing anything. But the fact is, that both realized that the empire needs reforms.
Also the cisleithanian part of the empire which was ruled by the habsburgs was quite democratic, atleast compared to the hungarian part.
Franz Joseph was the kind of guy who disliked reforms, but also that has its reasons, during franz josephs reign the monarchy got weakened significantly, so its no real wonder he was against reforms or changes. Franz ferdinand and Karl seem much more open minded when it comes to reforms.