The real problem is their stock crashed, so their best engineers will probably leave, and then it will become increasingly worse in a feedback cycle until possible eventual bankruptcy.

Ideally the stock price should be pushed up to attract better engineers to go in and fix shit. If stockholders agree to bid up the stock 100% YoY, hell, even I'd look for a job there, and help fix shit in return for some juicy RSUs.

If you take away their funding, you can only expect worse in the future.