Cell Phones: A black hole for personal electroics (convergence)

Is convergence across devices emerging such that cell phones are a black hole sucking energy from the rest of the consumer electronics industry? Consider: "The handset is rapidly consuming every other aspect of mobile consumer electronics: PDAs, cameras, GPS receivers, MP3 players, DVD players and game consoles. In the process, the SoC companies and intellectual-property (IP) providers that had planned to make a living in each of those areas will be drawn in for the most part, to their doom." I think this may affect some sectors, but not all. Single purpose devices will persisit. In some form.

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