It's not that mainframes (or supercomputers, or servers, or the cloud) stopped existing, it's that there was a "good enough" point where the personal computer was powerful enough to do all the things that people care about. Why would this be different?*
And aren't we all paying for a bunch of silicon that sits mostly unused? I have a full modern GPU in my Apple SoC capable of throwing a ridiculous number of polygons per second at the screen and I'm using it to display two terminal emulator windows.
* (I can think of a number of reasons why it would in fact turn out different, but none of them have to do with the limits of technology -- they are all about control or economic incentives)