I think a remake could be done - but the look of the world inside the computer should NOT be "updated". The original design, primitive though it may be to kids who grew up on Doom and Halo, conveys the alienness of the world far better than any "updated" CGI would.
Modern graphics techniques can (and certainly will) be used to speed up production, but if they don't fight off the temptation to "update" the look, they'll lose the soul of the story.
I'm sure they'll update the story itself. Flynn's video arcade, and the ENCOM mainframe, are both dated; huge video arcades have gone the way of the dinosaur, and while the mainframe certainly is not dead (or even dying), it's not seen as cool any more.
What they'll actually do with the story, and the graphics, will tell whether the result will be great, or suck. Hollywood has shown that it can screw up an anvil, but it can also make films that take the breath away. Which will we wind up with? My crystal ball isn't that good.
Do I want to be in it? Does it snow in Minnesota in January?
Oh, and for the record, I did not write the article at I Watch Stuff.