I wish. I certainly, definitely, most assuredly wish that Tarkin had survived the explosion. With the loss of Cushing's characterization and relentless drive brought to every character he ever played, the series lost that commanding overbearing sense of true human villainy, that despite all of Vader's badass terrorizing in ESB and the Emperor's evil plotting, was never again equaled in the sequels.
He blew up a planet just to make a point! He is vehemently evil and yet has a certain inherent humanity that is pure Cushing, so that as with his characterization of Baron Frankenstein, you cannot ever truly HATE this character-no matter how evil or deplorable his acts.
But his death was necessitated in the original film as the culmination of the action climax, in the interests of grand drama and narrative. It is a truly perfect climax in layering, staging and editing, and that despite all of his evil acts in the end it is Tarkin's egotistical side that proves his undoing.
Or maybe I just adore Peter too much. ;)