I don’t think of that as an “admission of defeat.” I think it was a brilliant way to handle the issues at the heart of the show. Personally, I feel it was probably the greatest final episode of any series. A lot of people hated it because it didn’t give them emotional resolution, but I have to respect Chase for doing it that way.
There’s an interesting contrast with Breaking Bad. While I loved the show, I felt that at the end Vince Gilligan pandered to the audience by giving Walter White a far better end than he deserved. The point of the show was showing how Walter utterly destroyed his life through egotism and arrogance. But then Gilligan allowed him to “win” in several important ways.
Spoilers below so scroll down if by some chance you haven’t seen it but intend to.
-First and most crucially, Walter succeeds in passing some of his blood-soaked fortune on to Walt Jr. through the Schwartzes. Since his ostensible aim in becoming a drug kingpin was to provide for his family, he accomplished his aim. (Yes I know he confesses he really did it for his own ego, but this is still a victory.)
-He protects Skyler and his family by killing Lydia, and tells her the location of Hank’s grave so she can get a good plea deal. Although he has lost the love of his family, he does protect them from the worst consequences of his acts.
-He kills the neo-Nazis in retribution for killing Hank, and rescues Jesse. At the end, Walt dies with a smile on his face.
Now, if you really wanted to send the message “crime doesn’t pay,” the neo-Nazis and Lydia would have slaughtered Walt’s family in front of him, and would have used the money they stole from him to establish a crime empire across the Southwest. But the audience wouldn’t have found such a nihilistic ending emotionally satisfactory.
Chase’s ending isn’t emotionally satisfying, but IMO it’s an excellent one from an artistic and philosophical point of view. Gilligan’s ending was a crowd-pleaser, but didn’t follow through to the bitter end on the theme of the show.