No, you're going to keep your phone. It's all the new folks who will sign new contracts that will take up the iPhone 4S. They expect you to upgrade next year for the iPhone 5.
I'm an Android user and I think this is a good and worthwhile update. Some people just expect too much. I use voice commands and voice dictation on my handset all the time. It's a more useful update than some of you realize. And the new camera? All I can say is wow. If point and shoots weren't dead before, they will be now.
The biggest innovation I see from this announcement though is the marketshare grab of making the iPhone 3GS free. That will help a lot of carriers to convert their pre-paid clients into post-paid clients. That might be huge.