Physical media as retail product is always going to be around in some form or another. The notion that downloading is somehow going to kill Blu-ray or other disc-based media is just silly.
A company can do more to dress up a physical product and add more value-added content to it than what can be done with any download-only product.
Here's an added analogy to go with this.
Over a decade ago I was hearing all this nonsense about how the Internet was going to kill all physical book and magazine publishing. That hasn't happened. People are still buying books, magazines and newspapers in physical form. That's despite the fact technology like PDF-X makes is very possible and practical to deliver an electronic equivalent of that publication that is identical in appearance. Same graphics, embedded fonts and the photos are usually high enough in resolution to look good if you print out the PDF. And with a decent high speed connection you can download that PDF in a few minutes. Nevertheless, book stores like Barnes & Noble are still in business regardless of that fact.
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