Scaling is the big issue with LEDs. All the waste heat needs to be conducted away and radiated or exchanged away somehow... unlike and incandescent filament that radiates nearly 100% of its waste heat directly as infrared radiation.
There have been a few experiemnts with 10W and 20W LEDs ... from what I've been able to gather, they aren't really practical enough for commercialization.
You can realize huge outputs from LEDs if you use parallelism - I've seen a number of maglite mods using 3 to 4 Luxeon 3s; driven moderately, you'll probably see 200-250 lm from the 3x light, and 260-330 lm from the 4x light. Of course, you'll miss the throw from a single reflector...
The advantage for LEDs will continue to be in lower-power devices. While not as simple as incans, they do beat out technologies like HID, etc which require high starting/operating voltges and don't work as well at low wattages; LEDs are low-voltage DC current devices using much simpler electronics (as simple as a resistor) for operation & regulation. LEDs are also very efficient at low voltages/watages compared to most other lighting technologies.
There are some advances coming down the pipeline for LEDs:
- Yellow phosphors keep getting better - more blue is converted to yellow & red for greater efficiency.
- Nano-cavities in LED die can up die efficiency by up to 400%.
- UV die + white phosphor promises to be more pomising that blue die + yellow phosphor with much fuller spectrum, consistent binning, and potentially greater efficiency
The above bullets really point to greater optical efficiency... More (electrically) efficient die could alleviate the inescapable heat isssue - power could go up to compete with those big incandescents & HID.
Incandescents will be around for a while due to their wide operating ranges (fractional-watt to hundreds of watts), simplicity, ease of manufacture, and their short lives is incentive to keep making them (nothing like a steady cashflow). Supplied with the proper voltage, an incandescent filament has an amazing ability to regulate its own current consumption... so long as the voltage source is correct, no other electronics are typically needed.