Bitcoin failed because it has no privacy.
By what metric do you come to this conclusion? It certainly has not failed as a form of P2P electronic cash, nor as a store of value. Its worth pointing out the difference between "censorship resistant" and "censorship proof". It can really only be censored through government address blacklists. Even then, you can still send it anywhere you want, it might just land you in a hot spot with the government. You admit Satoshi developed Bitcoin not with privacy in mind, so how could it have failed?
Bitcoin should have been a revolutionary movement which means it should have had privacy all along. Instead bitcoin became hijacked by investors and ROI and digital gold and regulations and no privacy.
Perhaps, but it was the first of its kind and paved the way for Monero (XMR).