Because of how most things we see happen in Lost are for a purpose and not just randomly thrown in by the writers, I think the writers deliberately have shown us several important hints of what might transpire. First of all, when we first saw the LAX reality they showed the island was underwater when the plane was flying overhead, right? There had to be significance that the island was underwater in the parallel LAX reality. Now recall when Sawyer was with Juliet down near the bomb that never blew up in the Smocke reality she seems to fade into a glimpse of understanding the LAX reality right before she dies and she says, "It worked." So in the LAX reality she was able to detonate the bomb and it successfully sank the island and apparently took care of the smoke monster somehow (either disabling him from his powers and trapping him under the water w/ the island or destroying him somehow.) I'm guessing since the island was sunk in the LAX reality they will have to do the same thing in this fake Locke reality in order to take care of the smoke monster.
What have the writers shown us recently? They made a point of reminding us that Desmond cannot be killed by being in the presence of electromagnetic energy unlike other people. Also, on the last show we saw that at the heart of the island is electromagnetic energy in that cave-like hole. Coincidence? I don't think so. I think Desmond is going to have to go down into the heart of the island and do something. I think it is possible he will take the bomb with him and detonate it inside the heart of the island. This would sink the island, since we saw that in the LAX reality the bomb caused the island to sink (though it wasn't detonated in the heart of the island, admittedly.)
I think the writers have shown Hurley talking to Jacob recently to set up having Jacob lead Hurley to the location of the heart of the island, then Desmond will take the bomb there. I have no idea how any of the other Losties fit in though. Also, recall that the writers have had it mentioned at least twice now that water somehow affects the smoke monster. Remember Sawyer had asked fake Locke why he didn't just go over to the other island and the smoke monster insuated something about not being able to do that. Then in a recent episode when Sawyer told Jack to throw the smoke monster into the water because he doesn't like the water, that wasn't written into the script for no reason at all given how the writers tend to fit things together. Perhaps, James was hoping that if Jack could get Smokie into the water, if James was able to get over there while Smokie was still in the water, maybe Smokie would be weakened and not possess his normal powers? But James was never able to get over to him while he was still in the water to see. *If* the water holds some kind of sway over the smoke monster and weakens or somehow neutralizes him, if Desmond can sink the island with the smoke monster still being somehow chained to the island or stuck there then the smoke monster will stay underwater and either lose his powers or possibly be destroyed.
The other thought I have is perhaps if Desmond detonates a bomb in the heart of the island it could destroy the smoke monster b/c it would dissipate all of the electromagnetic energy in the heart of the island when the bomb goes off. So if the island is destroyed/sunk and everyone with it, with smokie either permanently under water w/ the island or else destroyed himself, that whole island timeline will not need to continue being split off from the other and the LAX reality can become the only reality to continue.
I like this idea, however I do think there is merit to the ideas that no reality will be able to exist after this Smocke reality is destroyed and it will be the end of both realities. I sure hope that isn't the case and the LAX reality becomes the one and only reality. However, that leaves me wondering why Desmond would need to get the Losties together in the LAX reality. That doesn't really fit in neatly at all. Hmmm. *Scratches head*.