The fact that the internet device is actually a special-purpose simulator running on general-purpose hardware is an implementation detail. Even most programmers want to do other activities on their devices, like check their email. This should be co-equal with programming; anything you do in your coding environment shouldn't break your ability to get email.
Is general-purpose-computing-as-an-app dying? No: repl.it for kids/consumers is great, there's an explosion of nocode/locode for consumers/businesses; and free tiers of the public clouds are available if you really really want to muck with linux.