Charlie Lee works for Coinbase. I presume Blockstream's bankster backers will realize they need to move forward and Litecoin provides them the easiest transition to do so, if they can't attain consensus for activating SegWit for Bitcoin. All affected parties will be forced to move in the path of least resistance.

Frankly I think it is quite dangerous to activate such radical changes to Bitcoin. Much better to activate on a lesser blockchain so if there are flaws and bugs then Bitcoin isn't as affected. Bitcoin needs to be stable and prioritize continuity, because it is intended to the gold standard of blockchain tokens.

LN is all about enabling private fractional reserve banking with centralized hubs. LN just doesn't scale otherwise (due to routing and other issues). That is probably why Blockstream received $70m in funding. Perhaps they thought they could hijack Bitcoin, but they will have to face the reality of the situation.

Ethereum will be shipping a beta of a LN clone soon named Raiden. So the pressure is mounting on Blockstream and also on everyone invested in Bitcoin. Seems to me that Litecoin is the best option available to all affected parties.

Perhaps Blockstream can sell the idea to themselves by keeping their options open to potentially migrate the new technologies to Bitcoin someday, while pushing forward on Litecoin as a testbed and also to get real world adoption underway asap.

It just makes all the sense to stop this squabbling and move on/forward. Our productive energies are best spent on evangelizing blockchains and not fighting amongst ourselves.