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I think this Desktop PC's going away is brought up every year, and the answer is the same... it might be declining but we're far from them going away. You have too many type of people that need a Desktop...

Gamers, and Steam will help with that in the next year or two...
HTPC's, sure there are small ones like AppleTV/Roku, but lots of people prefer Desktop PC's since they do so much more
Home office, sure a laptop/tablet could do a lot, but you still have people that need a Desktop PC (cheaper/faster/convenient)
Professionals, music/photo/video editing (I'm sure there's a number that prefer laptops for editing on the go), but you have lots who need the power and functionality of a PC (usb ports, graphics cards, hard drives, etc)

That's just 4 types off the top of my head... I'm sure there's lots more. I don't see Desktop PC's going away in the next 5-10 years.

I think a possible future could be your cellphone powers everything, with docks.
You have a laptop with a cellphone dock (no hardware inside), just a screen/keyboard. When you put your cellphone in the laptop, it's now a laptop.
You have a tablet with a cellphone dock (again, no hardware just screen), so when you put your phone in, it's now a tablet
You have a small desktop with a cellphone dock (no hardware), just usb ports, hdmi/dvi/thunderbolt, maybe room for some HDD's, then you have a keyboard/mouse nearby... so when you put your phone into PC Dock (size of AppleTV), bam it's now a computer and you have monitors hooked up to the dock, etc...
You have a TV with a little Dock, plug your phone into that and bam you have a media center

ASUS did a very small version of this with their PadFone, and it was pretty successful in Tawain (I own one), I absolutely love it. Sadly it became outdated, buggy, and and it was pretty large.