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It is dead in the sense that they lost their rarity and specialness to people.
>Gen.2: Introduced Shinies, Red Gyarados, Odd Egg
>Gen.3: nothing
>Gen.4: Masuda, PokeRadar, Events (Zigzagoon)
>Gen.5: Masuda, PokeRadar (HG/SS), Shiny Charm, Events (several), Benga shiny, Haxorus
>Gen.6: Masuda, PokeRadar, DexNav, Chain Fishing, Shiny Charm, Increased Odds, Events (several)
On top of that, cheating in those Pokemon is much easier to do. With all that combined, shiny hunting is a lot less special.
I still do it though, and in fact ran into two shinies yesterday. I am looking for a shiny Pikachu and Spirtomb in the Friend Safari.
