Agreed, being that porn is so much of the film output and it is so video oriented, you could say that film is dead apart from the very specialised Hollywood and Music Video areas - Just the highest profile outputs.
IMO film will be around for ever (basically) because of the aesthetic of it. Video can come close to emulating film but has never really hit it yet.
It is likely to be like vinyl to my mind because although TECHNICALLY, CD audio and DVD audio is of finer quality (higher fidelity, more durable, greater duration of audio per disc, and importantly more channels per disc in the case of DVD audio) there is still the aesthetic of holding 12 inches of plastic in your hand. I can not go past the pleasure of holding the huge cover art work, being the owner of one of only 1000 of these items in the world, and technically of the possible wholly analogue production process removing the lack of fluidity present (though debatably imperceptible) in having 44100 interruptions to the music per second.
I can see a parallel where all other applications of short and feature length presentations become technically superior to film, but to many never quite capable of capturing the "feel" of traditional 35mm - hence a specialist or cult market resulting from a shrinking global demand for film (but importantly never a disappearance of it).
In a way, despite that I can never see myself using film, I hope like vinyl it doesn't disappear entirely.
Kyuss