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The Third Reich was a flowery term for the Groβdeutsches Reich– commonly known as Nazi Germany. “What if the Nazis won WWII?” is a common point of divergence for AH, possibly because of the horror factor, or because of how much historians know about the Third Reich and its intricate society. The Third Reich is certainly popular with AH publishers, who know that a swastika on the cover of a book will draw the eye of the reader. Good places for swastika flags include flying over Big Ben (the Nazis almost invaded Britain in 1940), flying over the White House (the invasion of America would have taken place several years or some decades after Britain and Russia had been dealt with), and flying on the moon (It has been speculated that the Third Reich would have colonized the moon by 2007).
Why the Nazis could have won:
Why the Nazis lost:
What might have happened if they'd won:
Wikipedia has an article on the Third Reich.
David Bofinger has written an article on alternate Second World Wars.
Eric Krieg has written an article on lessons learned from World War II.
Virtual History edited by Niall Ferguson (1997) has an essay by Michael Burleigh on what the Nazis had planned for the post-war period.
Wenn Hitler den Krieg gewonnen hätte by Ralph Giordano (1989) is a must read for anyone wanting to write a Nazi victory timeline. It's in German.
Reich-2 (Halifax becomes PM and makes peace) and Reich-5 (FDR is assassinated in 1933) from GURPS Infinite Worlds. And several other Reich TLs mentioned in the same book.
The Children's War (2001) and A Change of Regime (2004) by J. N. Stroyar (Hitler invests in atomic research instead of invading the Soviet Union).
Collaborator by Murray Davies (2003) (Germany invades Britain in May 1940 using the French fleet).
In the Presence of Mine Enemies by Harry Turtledove (2003) (America doesn't enter WWII).
The Separation by Christopher Priest (2002) (Rudolf Hess launches a successful coup against Hitler).
Fatherland by Robert Harris (1992) (Germany successfully invades the Caucasus).
The Last Article by Harry Turtledove (1988) (Britain surrenders to Germany in 1941). Short story.
Moon of Ice by Brad Linaweaver (1988) (Germany invents the atom bomb).
SS-GB by Len Deighton (1979) (Germany wins the Battle of Britain).
Two Dooms by Cyril Kornbluth (1958) (The US does not invent the atom bomb). Short story.
The Ultimate Solution by Eric Norden (1973) (Germany and Japan triumph in WWII).
The Man in the High Castle by Philip K. Dick (1962) (FDR is assassinated in 1933; the Allies are completely defeated in World War II)
The fact that the Nazis are universally condemned means that they are often a lazy choice of villain in TV and movies, even if the setting is in the present (surviving neo-Nazi cells) or the past (time travel!). This even crops up in AH - AH series featuring crosstime travel between many timelines will always include at least a throwaway mention of a Nazi-victory timeline.
Arguably, the use of the Nazis in kids' TV where nobody ever dies and similar media have undermined understanding of the horrors they actually committed. The same can be said about the German restriction on the display of swastikas, which means that German historical films and computer games always avoid showing Nazi symbols. In some cases, e.g. when WW2 games show Germany as having the imperial or Weimar flag, this can produce unfortunate implications - suggesting historical revisionism.