Well, I haven't heard anyone say DVD is dead, **** VHS is still around. It's just that its not the "next thing," which, as us being electronics nerds, knows is the way people will shift... many times for aesthetic, materialistic purposes.
I have yet to buy a blu-ray movie, too expensive for me... so it's not like im vouching or defending them, this is just what I see happening. But, as I said, as long as nothing comes out and competes pricewise within a year, then blu-ray will come down in price, and be like a DVD within a year or 2.