It's just too good to die. The squeezebox community actively supports the product and Michael Herger/Logitech is supporting & doing development of LMS. The current beta version of LMS - 7.9 - actually has some nice new features. He's also been actively working to decouple LMS and Squeezeboxen from the mysqueezebox.com site which many felt would be the first thing to go away. Yet it's still working.
And if you've got an old iPhone, iPad, android phone, linux box, windows computer, numerous hacks, etc... you can easily download LMS for free and have a totally functional squeezebox setup for next to nothing. And, of course, you can still find a Squeezebox Touch, SB3, Duet. Radio, Boom or even a Transporter on ebay.
If you're interested/curious, definitely spend some time on forums.slimdevices.com.... it's still a strong and vibrant community.