Why does one format have to win? When I upgraded my CD player 2 years ago I was dying to buy a high-end universal player, LINN, MF, SIM, etc were all getting ready to blow me away. Unfortunately, for the most part all I could buy was re-masters of many of the titles I already owned. Without the music I want what is the point in a new format?
I decided to spend 2K on a nice redbook player and 500 on the dreaded iPod. Now two years later I would still do the same. I travel for work and I've gotten huge enjoyment out of having a big percentage of my favorite titles in my collection anywhere in the world anytime I want it. I've tried both ACC and loss less encoding. Given that I listen to my ipod on planes, trains, and automobiles, any loss in quality by going to ACC is indiscernible given the environment I use it in. Should I set a turntable up on my lap in 22C with a packed plane? With the way it's going the needle is probably considered weapon in the security line :^) Do I use ACC at home? Well yes.. not in my listening room but in my workshop, at the pool, and in the kitchen.
The point is that in today's world there is no one "right answer" we are far too mobile. I have two cars, each is for an entirely different purpose and do their job well. Why should one music format be enough?
It's no mystery... the titles will follow the mass market. In the 50's HiFi was the hot new thing, today it's HDTV and soon "HD" DVD. In the 50's people worked till 5 had dinner at 5:30, watched 1 or 2 shows on a regular basis and read a book or the "high tech people" listened to the stereo.
Today, most people are looking for convenience in the audio not higher res. Alternative to the mass market will alway be there, the choices will just be more limited. In the end all formats are good for what for what they do well... Embrace all the ones that work for you.