I doubt it will be allowed to go under. It will continue to bleed if the current situation persists.
As we all know, there is little love for AI. AI has no loyal flyers, on the contrary there are people who would not fly AI under any circumstances. My position on AI has been quite clear, I would fly AI if I could earn status and redeemable miles.
Unless Skyteam puts AI on fast track, IT would be the first Indian carrier to join an alliance. AI is not likely to produce a whole bunch of loyal flyers in the next few months. But if it joins an alliance, chances of new flyers trying it are greater. Some of those, like I would, might like to fly it again if they can earn miles.