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Inspired by the thread: WI: Manfred wins the Battle of Benevento.

Philip of Swabia and Albert of Austria were the only rulers of the HRE to be murdered.

After the death of HRE Henry VI with OTL Frederick II still being underaged (IIRC he was 4 years old), his uncle Philip of Swabia was elected by some as king of the Romans (and German king), whereas others elected the Welf Otto of Poitou (Brunswick).
Eventually Otto won the conflict, in part because Philip was murdered by count palatine of Bavaria Otto of Wittelsbach (a younger brother of the duke of Bavaria).
However at the time when Philip was murdered his prospects were actually looking good.
Count palatine Otto of Wittelsbach initially was promised the hand of one of Philip's daughter, but eventually that daughter instead married Wenceslaus, son of king Ottokar of Bohemia. Later Otto's betrothal with a daughter of the duke of Lower Silesia was broken off, this time Philip had nothing to do with, but Otto blamed him nonetheless. Eventually resulting in the OTL murder. WI Otto and his followers were discovered, captured, or in another way fail to accomplish the murder?

Anyway a surviving Philip of Swabia with male issue, would have had no direct claim on Sicily, but would instead have to focus on the position of the Hohenstaufen in the HRE.

If Philip were to have a surviving son, that would mean a de facto split of the house of Hohenstaufen in a Sicilian and a Swabian branch.
In fact IOTL Philip and Irene Angelina, who had 4 surviving daughters, also had two sons, who died in infancy.

Any thoughts on the consequences of this PoD? Will TTL Frederick II accept this arrangement?

IMHO even if he wants to change it, German electors would probably prefer a native raised Hohenstaufen over a Sicilian one; and no Pope would like the prospect of reuniting Sicily and HRE, unless one of them acts in such a manner, that he wants to replace him. OTOH if the Pope chooses an outsider, then this might make both TTL Hohenstaufen branches join forces.
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