Dead
In the long run, they're all dead. They're part of the Fire Nation. More than that though, they lead the Fire Nation against the world. When the Avatar and his circle of friends along with Zuko and Iroh break through the gates of the Palace, they'll all be dead.
Majority of the servants and guards have fled the palace, running to surrender before the Avatar takes their lives too. But that's okay. Azula does not mind. She understands that in this war torn world, you have to do what you have to do in order to stay alive, be it beg and grovel at your enemy's feet or selling your friends out. She knows that when she leaves this world, she'll be equally as lonely as when she first stepped into it. She is no fortune teller but she foresees she will die tonight, and with her, the reign of the Fire Nation over the world.
Ozai has long since left this God forsaken world, dying a pathetic death in a battle against his brother, leaving her the throne to a fallen nation. She does not mind and proudly places the crown above her head, something she'd longed to do since childhood. Azula commands her remaining soldiers as though they are still winning this war, as though the Avatar is not right outside the Palace gates, as though the world still fears her once proud nation.
Azula does not hold onto last shreds of hope, simply because she has already acknowledged her defeat. She knows that today, she will fall, but she does not intend to die alone. All their lives, she has always best Zuko in everything, she had everything Zuko could only dream to have. She does not intend to let him beat her now.
The door creaks open, illuminating the darkness of the room with streams of sunlight. "Surrender now Azula! You've lost." Azula does not believe in surrendering because that is what cowards do and she is by no means a coward. So she fights with all she's got, and it feels great because it does not matter what happens next anymore.
Today, she will fall, but Azula does not intend to die alone.