It sounds more like Clinton is facing the fact she can’t win, without screwing over the process. Even if Michigan and Florida get seated as is, Obama wins the popular vote, and she has no way to catch up with pledged delegates.
A lot of speculation has gone on that Clinton has been holding on, waiting for some big controversy to emerge about Obama. Well following Rev. Wright, Obama has shown he can muster through the controversies.
What happened last night was the exact opposite of what Clinton needed. For it to have been a good night for her, Indiana needed to be called early with a decisive lead and North Carolina needed to go on into the wee hours of the morning, and end up being a nail bitter. That didn’t happen. All her arguments for winning are now moot.
It also looks like some of her supporters are starting to think the same way. I kind of expect to see more super delegates declare for Obama in the next couple of days. They may wait a couple of days, to see what Clinton does, but the party wants this thing over with so we can focus on John McCain. The DNC doesn’t want to dump all it’s money into ads against McCain, and having the Obama money machine will be of great benefit.
Finally, speaking of money, Clinton may not actually drop out. Instead she will probably do a suspension of her campaign so she can continue to try and raise money. She is in major debt, and this would give her a path to nibble away at that.