Rocket 3.0 was a disaster for them. If I recall they had a “high cadence, high risk” model. They accepted too much risk in a market where more reliable launchers exist as options.
If they can get to Rocket 4.0, they may make it, but even their own financial disclosures admit that they may not make it.
At this point, it appears Kemp is no Musk.

I beg to differ. Virgin Galactic was not lost due to freedom but due to governmental interference — the opposite of freedom, as it was not free to launch on its intended launch date. Astra may not be lost but may be hibernating — or rather metamorphosing into a larger launch vehicle with a different customer base. We will have to see when/should it emerge from its chrysalis. This transformation is due to freedom.

Astra is lost as a small-lift launch company (< 2,000 kg), as its planned Terran-R is a much larger heavy-lift launch vehicle, with a capacity (33,000 kg) similar to Falcon-9 (38,000 kg, when landing on a drone ship for reuse).

A few weeks ago, I talked to someone who builds small satellites, and he was not happy about losing two smallsat launchers. It reduces the flexibility of choice of launch providers and does not help in the competition for reducing launch costs. He was concerned that some companies that otherwise would have ordered small satellites may decide to not expand their business into the small satellite arena or may decide to not start their businesses at all.