I'm playing as Austria. At every opportunity I've been putting those upstart prussians down. I humiliated them at olmutz, and defeated them handily in the Austro-Prussian war (Triggering "The Fall of Prussia" event for them). After this victory, I turned the nation into a dual-monarchy (austria-hungary). A few months later, the franco-prussian war happens. Prussia wins. Germany forms. I don't get the chance to even create the South German Federation or get the opportunity to create a greater austria, annexing the south german states. Germany just annexes bloody everyone despite getting it's ass handed to it by france in the war after getting it's ass handed to it by me a few months prior.
What am I doing wrong, exactly?