Wired reports that something is dead?
Surprise!
If anything, nobody likes dealing with the logistics of pushing client-side updates to users, especially with Web-based apps that to deal with multiple versions of REST/SOAP APIs (most hated is graceful degradation for older apps). My App Store icon already shows that 8 apps need updating. Goodness.
So I think the Web is safe. Because then you only need to update the browser, from the user perspective to take advantage of most functionality updates.