Are CD's dead?

With all the IPods, media downloading sites and the ever increasing hard drive memory. it really does beg the question, is the age of the Compact disk dead? In my opinion, i think its just barely holding on by a thread though sooner or later it'll just crash and burn. Since nowadays you can download any form of media from anywhere on the internet (albeit sometimes illegally). Just look at ITunes and the IPod, now you can buy movies, music , you name it, onto a handheld multipurpose device the size of your phone. Wind back the clocks say 20 years ago, you would have to go to your local music store and pay 20 something dollars for a CD with about 20 songs on it and play it on a bulky device that could barely fit in your pocket. not only that but if we also consider how easy it is to damage a CD compared to a hard drive (heck even a thumb-drive) its pretty one sided, one scratch, let alone a piece of dust or a fingerprint and it won't function properly. And now with the blu-ray disk that's been out on the market for several years now; is even thinner and brittle than the conventional CD, i mean you have to handle those things like your diffusing a bomb it's ridiculous. Albeit hard-drives are more expensive (depending on which/what kind you get), with that said, in the long run you're saving yourself  money and space