It could look like what you say. Or we could see more open source games, or more online ones, or free/ad-supported, or any combination thereof, or things no one's even thought of yet. (Think how much different the world looks in 2011 than we imagined it would in 2001, let alone 1991!)
I can't tell you exactly what the new era will look like. If I were that good, I'd be awfully rich. I can tell you, however, that it will not look like the "pay per copy" model of the last century. That paradigm died the moment we developed and mass-marketed machines capable of making billions of copies at near-zero marginal cost.
What I seem to continually see here is the argument from consequences fallacy. "Well if this were true, then XYZ bad thing would happen..."! Even if it's correct that the death of the pay-per-copy model is bad (I'm not convinced it is, but for the sake of argument), that wouldn't change whether or not it's true. Even draconian laws and draconian technical measures haven't made the slightest dent, so I don't know what more proof of truth we'd need. Its death will be lingering, certainly, but the arrow's already through the heart.
Most likely, at least part of the new model will look like most everyone else's job-continued pay depends on continued work. If you want to make money as a musician, tour. If you want to make money as a programmer, develop custom software for people who want it or fix bugs for people who are willing to pay you to. I've got no problem with that-I'm not still getting paid for what I did yesterday, either.