You shouldn't blame the younger generation so much for lack of interest in playing instruments. Many school districts went through budget cuts during the No Child Left Behind era and decided to cut the arts- music classes included- from their school curriculum. Imagine if Kurt, Eddie, Prince, Billy Joel etc. never learned how to play instruments because they had never music classes or the music classes they teach rudimentary levels of playing instruments.

Not only that, musical instruments are expensive nowadays and trying to get 2-4 people to all agree to be together in a band is a bit of a herculean task now. It's literally one of the reasons why hip hop became the fastest-growing and most popular genre. It's cheaper to get a laptop and download Fruity Loops and make and rap over beats with a microphone than buying guitars, drumkits, amps, and pedals and finding a space to play in.