So we have the mediation between Oauth and Kerberos working along the lines of what you suggested. It works from curl but now we are making the smart doc for our token request. The API responds with the WWW-Authenticate Negotiate header but the smart doc never sends the second request.
This is our token request api. First it uses the java callout to perform kerberos authentication, then it generates an oauth token. The java callout repsonds with a 401 that contains the WWW-Authenticate with a value of Negotiate. In when using curl or postman the trace shows a second request. But when the initial request comes from smart docs on the developer portal, the second request is never made.