Consumers of computers in the mid-80s didn't consist of nearly the range and variety of consumers as it does now. The people who had computers in the 80s were computer geeks and engineers.

What we have accomplished in the last 20 years is the mainstream acceptance of computers. We have managed to get users familiar enough with them that they are comfortable doing things.

My grandparents no longer feel that they have to call me when they go to the store and buy a computer. They can get their email working without having to call me. They can upload their pictures and edit the documents without many issues.

Yes, there are still files and folders--but honestly: what is wrong with that? It fits how most people think. I can't name a single person I know who has a problem understanding the concept of folders and files on their computer. People don't -need- their desktop machines to do much more than they did in the 80s. And what people actually do has been streamlined and made easier. (And one could argue significant progress has been made, for example: entire airplanes are designed on computer before ever being built now. That was impossible in the 80s.)

The other stuff such as suffixes, drive letters, etc: I agree.