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Good point. Tech websites have been saying that for some time but this confirms it completely.

With now even boxed games requiring an install, the importance of physical products has decreased. Still, with the possibility to resell packaged games, at some point the progression of digital will stall. If Sony & MS could do a bonus system or decrease the price of digital games, non-physical games could rise even more quickly.

I think that ultimately, packaged games could only serve for collector's editions with goodies, CDs and stuff. Also, the time will come for digital-only systems. A PS4 portable that can run digital version of AA games would be great. PSPGo was the right idea but it came ahead of its time.