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Remember 5 years ago when arcades were 2D, 20p, games.
Then, NEW TECHNOLOGY! 3D!
Within a year, price goes up to a pound a go.
Expect £5 a time virtual reality in the arcades soon!
Technology could imrove the situation, but as handheld sales go up, people won't be put in the position of paying for the arcade or play nothing so much, so sales will fall further.
Still, no doubt they'll always be around, there will always be mugs willing to pay up for a short and not too sweet spell on a dodgy game (sadly, myself included).