It's going to shrink for a while but can be revived. There just needs to be some innovation. I can remember kids in my neighborhood being done with consoles after our Colecos and Ataris broke with crappy joysticks. Then the NES came. The slick new d-pad based controllers and SMB were amazing. Since then we've seen lots of fun and fresh things come along like 3D, discs, analogue controllers, online gaming, Wii, and HD. This gen is a bit stale because it's just basically a power upgrade gen, not unlike the PS2 gen. At the same time we're seeing new devices like tablets that seem fresh and new. But tablets will be boring in time and people will want new experiences. If when this happens a company launches a new system that offers a fresh experience in controls, graphics, gameplay or combination of many things, it could be a smash success and expand the audience again.
