For those that are skeptical about nano machinery, google 'ribosome' and be amazed.
Nano machinery is real, it exists, it powers the world, it's called biology.
The problem is that we seem to have a hard time translating our hard won knowledge of mechanical engineering to the nano scale, I expect some time will pass before the SF visions will become a reality but I think eventually we will get there. Figure another 50 to 100 years or so?
As long as we keep thinking in terms of conventional mechanics (wheels, gears, levers, wires and so on) it's going to be slow progress because we are trying to push down the size limit on our macroscopic ingredients without a real appreciation of what you can do with molecules 'as is'.
I think at some point the 'genetic synthesis' crowd is going to meet up with the 'nano technology' crowd and that's when we'll see some real action. The first little bits of progress in that direction have already been made.