linux users cant seem to get away from the terminal, even after many years of development.
Nope. With most modern distros, as long as your hardware works out of the box (which is most of it, except for AMD video chipsets and some audio cards
EDIT: Oh, and most HP laptops I've used), you'll probably never have to touch the terminal unless you start tinkering. Even then, there are GUI frontends for almost everything.
its actually a lot like the 9x line of windows. starting with a command line interface and sticking a gui into it, eventually refining it.
Maybe, but that's the only similarity.
but its roots are still firmly seated in the cli paradigm (which windows departed with the nt line).
Of course. Why fix what ain't broke?
linux needs to pull the same move to really get out of the terminal.
Nope. Mac OS X was able to create an arguably more refined GUI experience than Windows ever has without pulling away from the CLI paradigm (OS X is fully POSIX-compliant).
linux does seem to be improving though
Yep.
but its still a huge time sink when compared to windows.
Nope. Just a different interface. Whether or not it's a time sink depends on how much experience you have with it. I'll grant you that CLIs generally have a steeper learning curve than GUIs, though.