no, consoles are not coming to an end and lol at some of the arguments in the article...
First of all OnLive is a TERRIBLE example to be giving.
OnLive promised a lot of things and made most of it up as they went (just look at the maximum range of their servers, i think you can find this number on wiki). OnLive will never work, it is too costly and no one wants to pay monthly only to have to pay again to buy and rent games!
You would need too many servers all over the world to get OnLive to even work at all, lets also not forget that OnLive does not really work nearly as good as they would want you to believe, often there is a delay, even at one of their demonstrations where they servers were not even that far away there was a delay!
As for the free to play games, once again a bad example, all free to play games have micro transactions along the line, i like to refer to them as hidden fees. You start to play the free to play game, get into it and just as you are starting to like it a window will pop up, want to get the most out of the game PAY FOR PREMIUM CONTENT... etc...
Free to play games are also way lower quality than normal games and thus for those who have the money to buy a console or to buy World of Warcraft, it is much more desireable than playing some shitty asian free to play game
Sorry but analists cant tell you everything, they cant tell you if you are going to live or die tomorrow, they cant tell you the future, they dont even have crytal balls!
They just look at numbers, but they never factor in everything and often dont even know anything about the thing they are talking about.
In this case its obvious they are looking at the gaming industry all to cut and dry...
Free to play games, no matter how big, will never bring up as much profit as WoW does NOR will they even bring up nearly as much fun as WoW does!
In the end, all that matters is the quality of the product, at this time, full paid for games have the highest quality and give the most fun, thus consumers will look at their options and if they have the money, they will go and buy a Wii, a PS3 or an Xbox 360. Or they will be buying a gaming PC.
Only people with limited amounts of money tend to play free to play games and often they draw their friends in who even might already own a console or WoW as friends like to play games with each other.
So to summarise, that article is full of shit

Consoles will always be here, PC gaming will always be here and OnLive is going to fail... badly... I mean come on... they dont even have plans for Europe yet, nor does it even seem at all possible for them to provide OnLive to everyone in the USA, due to the extremely limited range of their servers!!!