Amare needs to be paired with a really dynamic guard or wing player like Kobe/Wade/Paul/Rose. With a little space he is the best at getting it done in the paint. Nash could create such space a couple of years back and against all but the top 4-5 teams in the league. But he is old now and not getting it done against Spurs, NO, Lakers makes no sense to stick to it anyway.
He has actually improved on defense over the years. His was not bad at all in the allstar game. Surrounded with good defensive players, he won't be the liability he appears to be on the suns next to Nash and Shaq.