It is my understanding that Obumbocare was designed to fail, forcing America to accept single payer healthcare (socialized medicine). Is that correct?
Yes
It's a distinct possibility, yes.
But such a plan would've had Obamacare failing slowly, over time -- so as to inure people to the concept of government-managed healthcare.
Under no circumstances, though, would it have been designed to fail spectacularly, immediately, out of the blocks. The current situation lends support to the notion that "the government can't do anything right".
Outside of the Congress, there's not a lot of support for "fixing" Obamacare. Voters would be very shy about a single-payer scheme right now.
Which is to say: The administration has effed-up badly. And that it's a very real eff-up.