While I have many good friends I've never met face to face, there is a fair amount of business that comes from those (or is referred to me from those) I have met in person. I attend a lot of podcasting events to meet people, find out what their struggles are (to enable me to make a better product). So I wouldn't say networking is going away. In the same way that the VCR didn't kill the movie business (same act - storytelling - different medium). I think networking online is still networking, but not as personal (and in some cases) or effective. To me when I can tell you the eye color of my target audience, I'm getting somewhere.