In a nutshell, yes, (unfortunately) this is where we are heading. Same as we 'downsized' engines and other means of transport (think Concorde), same as we lost services without paying lesser fees - think what it was air travel, for one, or the "self-paying cash registers" at supermarkets, same as now you get 80g of a product for the same price before you were getting 100g, and so on.
The question is not inevitability, but the timeline and how these things come to fruition. They say if you throw a frog in boiling water you will scald it and will run away, but warm slowly the same water and it will get used to it until ... I do not know, but it has been going on since years so I guess we are all "getting used to it".
And no, I do not think this marks the end of hi-performance vehicles, these will continue to be proposed and sold, but the combination of even more restrictive conditions will be the mechanism: speed limits and speed cameras, increased fines, tracking and reporting of driving conditions, and so on. All in the name of safety, to which I hold up a BS sign.