Shaikh Muhammad ibn Saalih al-Uthaymeen, rahimahullaah said:
"The Prophet - sallalaahu alaihi wa sallam - said: "Shaytaan has despaired of being worshiped in the Arabian Peninsula"*
(A questioner says) "Hadeeths has been reported indicating that this has already happened, so how can this be?"
The Shaikh answered by saying:
"This hadeeth is informing (us) of what has occured inside (the very) nafs of Shaytaan during that time, (that is) when people will enter into the Deen of Allaah in large groups and that this does not necessitate that it (the worship of Shaytaan )will not occur (at all)!"