Ah, personally, I don't see this "generation" you're talking about. If they exist, it's a small percentage versus those who are wearing cheap earbuds and the like.

Whether or not these people would move onto 2 channel, is a question no one can really answer except those individuals. Everything else is just presumptuous...

The hobby is in decline, let's face it. That doesn't mean that it's headed to extinction. It also doesn't mean that it has to do an about face to change. Its appeal is already there, once the interested people find it, THEY will do the changing.