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They told me that when laptops came out. Heck, I even used a laptop exclusively through most of the 00s.
Chromebooks would kill desktops. Then iPads. And smartphones. And cloud computing.
And yet by 2014, I was back to building a desktop PC. And had 3 since. Desktops will always have a small market share because they are the only machine that works for serious work (video editing, etc.)
Will I embrace Microsofts cloud computing? Only if it is cheaper price per power than owning my own equipment. Something tablets, phones, laptops, and cloud computing have all failed to do.
Desktop users are "value* users. And I’m skeptical what MS offers will offer good value to cheapos like me.