I'll have to look for the article I read, but it's funny you mention the compact cameras vs. smartphones being used as a camera within a 10 year span, because they showed a picture within an even shorter timeframe, where people at a concert were holding up their small digital cameras vs. nowadays where there was a sea of smartphones instead.
It may very well be true...because of social media (Facebook, Twitter, etc.). But then again, how many times have these articles been wrong? If everyone is right, then no one would be poor or out of the business. I am sure that the cheapo compacts will die. But, this is where i disagree with Shiva. The high-end compacts will soon take the place of mirrorless cameras. DSLR will not take the place of compacts because they are bulky and heavy. Phone cameras will not take the place of compacts because physics limit the quality of the pics.
The price of high-end compacts will come down. RX100 is the just the beginning...and thus, holds a premium at this time. But, as you can already see, 2013 is just the beginning of big sensor compacts.