Kobe has declined, but I am not off of the LA bandwagon yet. Not with all that talent. They aren't the invincible team that they were, but other teams have declined more IMO and they are a legit threat as is. They have their holes and now it will be a bit harder to address those areas (well, the next 2 years will be fine, but after that it will get tougher). But, they have a mental problem more than physical IMO which can be overcome.
I'm really interested to see them this year with Brown at the helm. I know Phil is 10000000000000000000000x the coach he is, but I feel that the system Brown will play could actually really benefit LA. It will be more of a traditional offense that is run through the post a lot more. LA needs to be forced to go inside more than ever and if they do it consistently they will be really good.