I agree thats not so far off the mark. If we have 32 cores in 2010 as scheduled then real time video editing is more feasible and realtime raytracing also.
Possible on a pc doesnt mean common though and games require the technology to be popularly available or they wont sell well. I'd be surprised if there was many dx10 only games in 2010 for example
Maybe the situation will begin to resemble how CAD is now
Whats not far off the mark the cpu doing everything ?
It ain't going to happen as the cpu used to do almost everything before & the boundaries of what people want & what can be done at the time will always out striped by what people desire, that what drives the market for new products.
Dedicated hardware will always be able to do more than general purpose hardware when it is made to the highest possible tech.
The only ways that such dedicated hardware loses out is when the general purpose is sufficient enough for the avg joe, like what we are seeing with the onboard Sound/Nics but when it comes to HQ gfx it requires a huge amount of power in comparison to Sound/Nics
So we all dump dedicated & run top level sound 24/192k/nics/gfx 2560x1600 aax16 asfx16/physics/AI all on the cpu in a few years time, we are a long way off from that stage.
What will the enthusiasts be using then ?

because when its common place then we will want more than what the norm is & it will take dedicate to make that happen until the general purpose catches up again & so on.
Just to look at the avg fps CPU gfx test in 3DMark06 & then work out how many cpu cores you would need to drive it at 60fps & on the low Med res of 1280x what ever it is & it don't even look that good ether & then add a few more cores needed for noticeable advanced AI/physics/sound to it.
Oh ! add DX10 like effects & that will bring the cores to there knees alone

Your giving the cpu far to much credit for what part it plays in a modern system.