You mean the country who joined the war in the last few months, only to fight two battles and then conclude an armistice over her allies' heads and which undermined their overall war aims? Damn right the Entente (especially the UK) weren't going to just hand Italy all of its territorial demands. Whatever else you think about the Habsburg's (and who doesn't), if they can hold together a good portion of central/eastern Europe then the rest of the Entente is kind of happy to keep them around: the UK wants to preserve the balance of power; the French don't blame them anything like as much as the Germans; the US just wants to GTFO of Europe; and the Russians aren't bothered because they think that all these other countries are going to be swept away by a revolution in the next decade or so anyway. But, to be more serious for a second, I agree that this is a bit ASB, to say the least, especially considering that there hasn't been a substantial POD ITTL before the war. However, I don't think it's necessarily the case that Austria-Hungary was doomed before the war, rather that it was the fact that the war went so disastrously for them which destroyed them. Pieter Judson makes this case rather convincingly, I think, in his latest book. So if Austria-Hungary has a less disastrous war, then there's a chance it (or at least some of it) might stick around. Anyway, I think that the point is at the very least arguable and, besides, what's the point of having an alt TL if you can't keep the Habsburgs around for a bit longer?