IFE is actually very safe, and the FAA mandates that. Swissair was extremely unfortunate and tragic, but had they been over land, they might have made it.
Having seatback TVs or monitors for movies have been around for 10+ years now on some carriers, with only a handful of problems.
think that airlines should pay attention to IFE systems and any problems (ie., warm or hot wiring, etc.), but I think that IFE is only one item on a whole laundry list of things that can go wrong in the air. This article blew it WAY out of proportion because of Swissair 111.
When I fly, I get more concerned about the buildup of jet vapors in the fuel tank, which combined with bad wiring (not IFE related!) brought down a 747.