I don't know about that. 34 isn't terribly old, but most non-exceptional players (and much as he is indeed Very Very Special in the attractiveness of his strokeplay, he's never been anything other than good in terms of his actual scoring) are beginning to think of retirement at such an age. A few examples being David Boon, Gary Kirsten, Mark Taylor, Stephen Fleming, Nasser Hussain, Damien Martyn, Graham Thorpe and Nathan Astle. All good, though not exceptional, Test batsmen who managed long careers, retired at about the right time, and around the age of 35.
If Laxman were to retire (of his own volition) within the next year I'd not be thinking it was extraordinarily premature. Perhaps a little unexpected, but no more than that.