Both LINQ and SQL have their places. Both have their disadvantages and advantages.
Sometimes for complex data retrieval you might need stored procs. And sometimes you may want other people to use your stored proc in Sql Server Management Studio.
Linq to Entities is great for fast CRUD development.
Sure you can build an app using only one or the other. Or you can mix it up. It all comes down to your requirements. But SQL stored procs will no go away any time soon.