It looks like the Flip was simply an intermediary product. Much like the netbook, which has been largely usurped by lower-cost full laptops and tablets like the iPad, the Flip was simply a product that disrupted markets before moving aside for a true successor.
The popular Flip video camera is no more, with Cisco announcing Tuesday it "will exit aspects of its consumer businesses," which includes shutting down the Flip.
"From the new iPhone 4 to the Flip HD cameras, it's never been easier for teachers to have a classroom full of video cameras. In fact, your principal won't even mind since all of these high-tech video cameras won't cost the school a penny. There are likely hundreds of ways to use a video camera in the classroom. Tom Barrett has come up with dozens of creative ways to use video cameras in the classroom, and we've embedded his presentation below."