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I doubt that will happen in your lifetime....not for gaming machines.
Faster processing makes more heat which requires more cooling which can be done economically with....SPACE.
The cost/benefit will never be there...in other words, for them to make a gaming machine that small, it would cost a lot...and when a competitor makes one just as powerful, but 10 times the size...and it is 1/4 the price...people will buy it.
That's probably right
Screens, mouse and keyboard will be hard to replace
VR still has a long way to go and many people can't stand it