#2 WWF/E would go out of business
The WWF would not have been able to afford to sign away any of WCW's major stars such as Hulk Hogan, Randy Savage, Kevin Nash or Scott Hall.
Without the traction of a major star, or feud in Austin vs McMahon, the WWF would never have recovered in the ratings war, the Attitude Era would likely not have occurred on the same scale without Austin as it's driving force and fans would continue to watch WCW's programming instead.
The WWF was losing money in 1997. Had they continued to lose money in 1998 and beyond, with no Austin bringing the dollars in, the likely outcome would have been no more WWF.
The Rock would still have become a star, though without Austin as a foil, he wouldn't have been as successful and with no Austin on the payroll, Vince McMahon may have been forced to keep hold of Bret Hart, preventing Montreal from occurring, which would definitely have neuteured the Attitude Era, given Hart was so opposed to it, and McMahon would have had to appease one of his only remaining stars.
In a heartbreaking twist of fate when you think about it, had Hart remained with the company, he has gone on record to say he would never have allowed Owen to participate in the entrance at Over The Edge 1999 that killed him when he fell 70 feet to his death after his planned entrance from the ceiling went wrong. Had Owen actually ended Austin's career, he could still be alive today.