I think it will level off. Music videos are just... weak.
It may do well as video device, eventually, but it will take a lot more memory and battery-life to make it record, store HD and feature-lenth programs, etc.
I now longer buy CDs, watch broadcast television (except for breaking news and sports) or read newspapers. I use the internet and my iPod. My iPod is not just for music anymore for for podcasts, audiobooks and now video content.