The TIOBE Programming Community Index for April 2012 shows that C is the most popular programming language (17.5%), closely followed by Java (17.02%) followed by C++ at 8.89%.
It is not that C is becoming more popular – it has been flatlined at 17-18% for a long time – it is that the use of Java in new code is declining.
Frankly, I am not surprised by the decline in Java. It was dreadfully over-hyped in the first place and has become increasing difficult to support due to the large number of overlapping class libraries. Like Cobol, Java still has a long life ahead of it but it will be increasingly bypassed when new applications are written. I now regard Java as a legacy language just like RPG or Cobol.