It doesn't matter if a film is live action or animated it has to have an interesting story, a unique perspective, a reason for being made. Many of the animated films from DreamWorks PDI are made simply because the hot commodity of computer technology exists and famous people are willing to provide voice work for cheap.
Brad Bird has pointed this out countless times. Don't you think Disney is itching to make an Incredibles sequel? Brad Bird wants that too, but only if he can make something that isn't simply a retread.
Sure, glossy CG distracted the public for a while and caused many people to think less of traditional animation, but the fad is over. Studios don't think people are interested in drawn animation, but that is far from the truth. The stories from the Disney pictures weren't up to snuff and ultimately that was the nail in the coffin.
I never liked Lilo and Stitch, but it was successful and came out the same year as their bomb Treasure Planet (which I did like). The will was and is there, but other factors have been missing and it's not the animation. Brother Bear and Home on the Range followed and sealed animation's fate. However, I still think that beautiful but stale Pocahontas and intriguing but patchy and problematic Hunchback sewed the seeds of the animation department's demise at Disney.
Story first. Neither forms of animation should be considered fads or fashionable. They are the means to tell a story. We should get variety. Eventually people are going to get fed up with CG Space Chimps and plotless Bee Movies buzzing about and turn to a good story told in classic animation. I hope that's soon.