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I don't think that the horror genre is in trouble at all. I think that the classic horror genre is in trouble being remade every ten seconds. But if you think about it, we are actually helping the old genre of horror. By remaking it people want to see the original, and by making remakes the youth like myself are seeing them so that they actually never die. If there ever was a time for horror it's now. People love being scared, suprised, all that stuff. Right now SAW is the horror saga of this generation. And in the future the original is going to be remade and guess what, we'll be talking about it then. It's a never ending cycle.
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