It's not "dead", but our brains have now been trained to get its neurotransmitters differently. We used to feel the fulfillment of achieving something, learning, or friendly comfort through human interaction. Now, people can get it via screens which takes less effort both physically and psychologically (having to get over little awkwardness). We are programmed to gather the most with the least effort, so naturally people end up preferring the phone.
This is actually bad, because we are slowly losing our face-to-face interaction skills and become worse at reading expressions/reactions.
People say that it's no different from the 80's and show a photo of people reading newspapers on a bus, but I've yet to see photos of people reading them on their 1st dates.