Of course Kira didn't died. Then what the heck is the ending song showing then, w/S-Freedom and Kira in front means? Yes, if he did died, they would emphasize his death scene, but rather after showing Shinn stab him, they just showed the explosion. Meaning there might be a slight moment wherein he must've escaped, or braced himself for impact. Take note that the penetration on Kira's cockpit wasn't showed from the inside, unlike Nikoru's, auel's and Heine's, which awesomely showed there bloody body being hit. This might mean that somehow he wasn't hit by the sword, or avoided critical damage from it. But, yes, it is very likely that he died. If he did escaped, perhaps he dived in the ocean.

Archangel already submerged in the waters b4 getting hit by Taunhauser. The explosion took place first b4 the explosion of Kira's mobile suit. And 1 more factor that might lessen Kira's chance of survival is the fact that the very strong explosion caused by the nuclear battery is so strong that nothing should be left. Shinn should be more damaged than what he is now, he shouldn't be even still standing there, he should be flinging away from the blast.

Unless, there's a Kira clone : )

Also, I believe that why Kira lost is that he was startled on how he underestimated Shinn's abilities. Also, he used his usual tactics, so Shinn came prepared. The pressure of the situation also contributed on his lost. I think if Kira just ran away he should still be with AA right now. I am stunned by Shinn's performance by the way.hehehhe