Austria Unites Germany, what happens to Hungary?

How does Austria unite Germany in this case?
Economic participation in the German Custom Union, liberal attitude to Hungary and Italy by not trying to remove autonomy or just by avoiding being dick towards local people.
For example the German economist Friedrich List manages to make the Frankfurt Diet accept his petition of complete German Union and the Austrians are willing to be part of it, this would remove some of the economic strength of Prussia and make Austria and allies better coordinated in a war by avoiding economic problems with Prussia boycotting them.
During the Springtime of Nations, not sure which year it would be butterflied, the Big Germany solution is enacted with much support from the Parliament and it offers the German Crown to the Austrian Emperor Ferdinand I, he accepts and with support of Rhineland´s rebels and with Berlin sieged by its own citizens and without much of the pressure from the Italian and Hungarian revolution the Austrians manage to led the Confederate German troops to victory against Denmark and Prussian reactionaries(again, if no butterflies in between) and to proclaim a pseudo-liberal German Empire. Hungary has his border revised with Germany and it becomes militarly, diplomatically independent but it has to renounce to Croatia that becomes a separated kingdom under a Hapsburg noble but still independent. Galicia-Lodomeria would either become Russian or sort of vassal, probably Krakow would be annex by the Russian. Bukovina would either become Moldovan/Romanian or more likely a Hapsburg/Russian vassal to pressure the Ottomans. Italy is a mess but maybe the Hapsburg could led a Italian Confederation of Hapsburg led states but without Piedmont and South Italy and the Papacy.
 
I think something needs to be cleared here.

Are you aware that in 1848. Dalmatia and Croatia-Slavonia were briefly united by a unified parliament under the rule of Josip Jelačić, who then proceeded to invade Hungary with a Croatian army in support of the Hapsburgs? Your post makes sense if you didn't know that, but it's kind of strange considering what happened IOTL.

Yes. Note that this was prior to the Austro-Hungarian Compromise.

Yes the Croats were pro-Habsburg when they thought the Habsburgs were the alternative to the Hungarians… but granting concessions to Croat nationalism would embolden them and eventually encourage them to seek more which the Habsburgs would either have to refuse (thus provoking them) or grant (thus gigantically provoking the Hungarians, whose allegiance is more valuable).
 
Yes. Note that this was prior to the Austro-Hungarian Compromise.

Yes, but it still didn't have the effects on the Empire you described in your posts. Uniting Croatia and Dalmatia is a lot less dangerous to the Hapsburgs than you're implying.

Yes the Croats were pro-Habsburg when they thought the Habsburgs were the alternative to the Hungarians…

The Hapsburgs still are an alternative to the Hungarians ITTL. The threat of Magyarisation didn't end for Croatia until 1903. IOTL.

but granting concessions to Croat nationalism would embolden them and eventually encourage them to seek more

If Dalnatia was to be united with Croatia-Slavonia, then the focal point of Croatian expansion would be pointed towards the Ottoman-controlled Bosnia-Herzegovina. Hungarian-controlled lands and Autrian-controlled lands would be largely safe.

which the Habsburgs would either have to refuse (thus provoking them)

The Hapsburgs rolled back the unification of Dalmatia with Croatia IOTL, and the main Croatian enemy were still the Hungarians.

or grant (thus gigantically provoking the Hungarians, whose allegiance is more valuable).

Didn't you claim that uniting Dalmatia with Croatia would benefit Hungary a few posts ago?

And besides, the Hungarians wouldn't care as long as they have their sea acess through Rijeka. This is what they obsessed over IOTL.
 
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