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The PC market is not dying, it definitely contracted considerably in the early 2000s but I believe that recently it was doing better. Keep in mind that the way they measure success in PC gaming is less straight forward than it is in console land.

For consoles, all they gotta do is add up total sales and voila. If you count in the amount of revenue generated by MMOs like WoW and the amount of transactions from people trading game assets for real money, then the PC market has seen tremendous growth.