No way!
Although Silverlight is interesting it's not a full platform - in fact it's very limited at the moment for building media and graphics rich applications but it has no - absolutely no - support for forms based applications. There are no controls (no labels, no textbox, no button - nothing).
Although this will come later even with this it's not a replacement for HTML based Web interfaces.
There are many issues to consider: Infrastructure, searchabililty (can't search flash or silverlight content) and for silverlight at least very limited browser support.
Not going to displace Web anytime soon and being from Microsoft chances that it will take of in a big way on the Web is actually quite unlikely IMHO.
+++ Rick ---
>Reading the following article, the web is dead
>
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http://www.ftponline.com/vsm/2007_08/magazine/departments/guestop/>
>I was interested to know if any of you used Silverlight and what do you think about it. is it as important the author claims?
>"Silverlight 1.1 is in an alpha state right now, but I believe it represents the future of the Web. The Web isn't dead, but it is about to undergo the biggest transformation in the past decade."
>
>Mo