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WPF is dead. The real question Microsoft is debating is whether the future rests with HTML5 or Silverlight. Naturally one would think that HTML5 should win. It is the future standard for HTML. At least nobody is debating whether XHTML has any future.
I am not unhappy. Never really learned WPF. So I might just be able to skip the darn thing and concentrate on the correct future technology. The future is tricky though. You never know what will win out. And it will most likely be replaced even further in the future.