Arcades were huge in the early 80's and early 90's. So I'm guessing that when you say "you can't have the same boom twice" you mean another arcade boom for the same game? Just saying that the early 80's and 90's experienced big booms in arcades (in case I misread what you meant).
I was referring to the SFII boom and subsequent fighting game boom that followed. Nothing is going to bring that back, and even if there were such a game, the infrastructure just isn't there any more to enable it to happen.
@ Moose
Well, there are no-smoking arcades in Japan. Most of the bigger ones that try to appeal to a wider audience are no smoking I think. I think Club Sega might even be no smoking. Correct me if I'm wrong on that. Most of the smaller chains / arcades will permit smoking though.
Of course, I can't comment on the situation in the US as I don't know anything about it.
@ thread in general
Yes, arcades continue to die in Japan. A good point was made about Akihabara. Akihabara is not representative of the big picture at all. It's not even representative of Tokyo. Any big city has areas that have focuses on certain things. For example, Jinbocho in Tokyo is full of book shops and sports shops. It does not represent the rest of Japan. Soho in London is full of sex shops. It does not represent the rest of England.
Point is that the number of arcades in Japan continues to decrease. Not so much the bigger chains, but many of the smaller, private arcades are gone and continue to disappear. Where I work in Tokyo, there were 3 arcades there in 2002. Now there are none. Not one. One of these was a Club Sega too. There are a bunch of others that I knew that are gone too. I live in a pretty big town/city, and there is only 1 arcade that I know of. New arcades opening up? I can't really think of a single one unless you class a UFO catcher filled place that usually comes as standard with a new shopping mall...