Well, this is more tricky of a question than a yes or no can answer, because gaming in itself is a lot of things. While I see quite a few of the better aspects of games long, far behind us (actual challenge in a game, more interactivity and less dramatically long cutscenes, ect.), gaming is evolving in a fashion where there is still quite a bit to offer. The ability to incorporate real story, realistic graphics for greater immersion, voice acting in every facet of the game, open world environments, and precision controlling, we're opening the door for so much more.
Unfortunately, due to the main stream success of gaming, we're also seeing things dumbed down quite a bit for mass appeal. Where this becomes a problem is the lack of any real challenge, the difficulty curved to such an elementary level at times, and the intricacies being removed for easier accessibility. What this eventually leads to is simplified interactive story telling, rather than what we conceive to be gaming these days, with no risk or reward. Sure, it should be an open market for all to enjoy. But why sacrifice what drives us to play harder and longer at the same time? Unless video game developers find a compromise between accessibility and keeping the rest of us on the edge of our seats, I see video games turning into more of a toy than anything else.