Jason, you are absolutely right today. What I'm saying is that in the next two or three digital product cycles (4-8 years?) we could see affordable high quality video that could make digital still cameras redundant.
From someone who shoots both, I would have to opine that it is unlikely. Not from a technical point of view but from a creative standpoint. I think hacks may advance the idea, but the difference between stills and motion are far greater that technical. Video does not translate into effective compelling images for still as a surefire concept. Also it's going to be likely at some point that the manufactures will reduce undermining professional gear with pro-sumer equipment. They will reach a point of no return at some point where they will have to.