I think religion is dying, but violently so. We're seeing the last two big boys of religion, Christianity and Islam, squaring off with their own advantages and disadvantages. The advantage for Christianity is the fact it relaxed its doctrine to open the way for science and technology, thus Christians have the best toys in any war by default. Its disadvantage for Christianity is that due to this advancement of technology and science fewer people feel the need to breed, thus fewer Christian households to extract soldiers for wars. The flipside, Islam has a higher convert rate than any religion to date, among developing and developed nations as well as a higher birth rate. The downside for Islam is that the lack of any significant pro-science-education basis makes it slow to acquire technologies it can manipulate and reproduce, which is why you seen nations like Iran trying to come out as a "veiled secular" society (the clerics rule, but don't make the gears of civilization turn).
Atheism is on the rise because of many factors: longer lifespans, better education, and more knowledge as three major ones. As we get older and live well into our 80s (and possibly 100s in the next two decades), questions arise as to what we are as individuals, our individuation that start in our first two decades of life continue to branch out more (due to a third chance at neuro-genesis (starting in our 60s)), thus we learn more about ourselves individually and more about the world around us (more elderly people today are going back to college to finish degrees to to add to their existing base of knowledge with another degree or an upgrade to it (BA to an MS or MS to a PhD)). For better education, the Internet has become the source for new knowledge on Earth. No school text book can beat the speed of a worldwide mesh network in the transmission of such knowledge whether it be trivial stuff like celebrity news or news about a brand new scientific discovery, the Internet has become the means by which arguments for atheism (and reason) have seen a second chance than ever before, despite all the modern mystical hoodoo of post-modernism (which is on the decline from what I've seen, even in France), religions can't confuse an informed population. And for more knowledge, scientific and technological knowledge now double at nearly exponential rates (approximately 12 to 24 months, depending on the field, for medicine it's much slower possibly as slow as 48 months for a doubling), so the more we know the more we understand our place on Earth and in the Multi/Uni-verse. And to which, religions cannot replace the ever able ability of an engineering or medical staff.
-- Brede