I've always been a fan of physical media. Movies, music, video games. I wanted to own it. Touch it. Have it. Over time, that's changed.

I haven't bought a CD since Michael Jackson died. Haven't purchased a DVD or Blu-ray in a couple of years. And the last physical game I've purchased was Valkyria Chronicles back in May. Some games, I even own physically but went back and purchased digitally because of convenience.

I may have been converted but I'm still open minded. There are many benefits to going digital but there are still benefits to going physical, too. Here's the case for both.

Physical:

+You have something in your hands. You can look at it, display it, and taste it.

+Your game lasts indefinitely, as long take care of it.

+You can resell it when you're done.

+ You can loan it to a friend

+ Rare games can increase in value

+ You don't have to worry about running out of hard drive space.

+ As long as your console works, your game should also work

+ You may be able to refund a crappy game

+ No waiting on lengthy downloads

+ "Collector's Edition" versions are usually exclusive to physical games.

-They can be lost or stolen

-Your friends are assholes who mooch off of you

-they can be damaged

-You have to physically change discs

Digital:

+ No physical storage worries (I have no shelf space anymore)

+ As long as you have an account, your games can't be stolen

+ You can play on two consoles at once with one purchase

+ You can swap games with the press of a button

+ You don't have to worry about losing or damaging a game

+ No waiting in line 

+ No shortages

+ No disc drive worries

-You can't loan it to a friend or trade

-You can't resell if it sucks

-If the servers are shut down (see PSP), you can't replace a lost game

-Hard Drive storage may be limited

-Bandwidth may limit your downloads (depending on your plan)

Any pros or cons that I've forgotten? Which side are you on? Are you buy-curious and sometimes buy digital but usual purchase physical? Let's discuss.

Games I want to own physically.
Movies & music, digital is more than fine.

I own all of my games physically. I don't usually buy music or movies, but when I do I buy them physically too.

Games - Physical
Films - Mixed
Music - Digital

It seems inevitable that everything will be digital eventually. I'd guess 2030 range that becomes a real discussion as internet access and high speed internet access become the norm enough worldwide to support the industry.

Digital (music, movies, games).

Only exception: Comics.

Price and storage.
I have a  lot on steam. 

The problem with digital on console is you can barely fit 10 games on those devices. If the networks weren't so slow (PSN/WiiUwhatever) I wouldn't have issue with downloading.

I have more than one Xbox and PS4. A big seller for me is being able to just turn on the console in a different room and continue where I left off without having to bring a disc with me.

Playing online with my daughter in one room and myself in another is a big plus, too.

I like waiting on line, can socialize and meet all kinds of geeks.

You forgot Collectors Edition, for physical copies.

I'll add it.

I've got like ten "collectors edition" titles. Some, I cherish. Some, I felt like a fool for spending the extra money. It's definitely a Pro for those who buy them--though I think lately there are a few collectors editions with digital games! 

I'd rather have everything digital, I don't care about owning a physical copy of something and the convenience outweighs the concerns over ownership. As long as I have access then I'm good.

Unfortunately where I live prices and download speeds mean it's not quite worth it yet.