IMVHO optical storage won't die.
First, a large part of world population hasn't access to broadband and even actual and near future solutions to alleviate the problem are OK for surfing and small to medium downloads, but are far too slow to download files greater than 1GB, not to say HD contents greater than 10GB.
Second, optical discs with large capacity are good for PC backups and home video recording, people is waiting for the heir to VHS to become cheaper and more widespread: DVD+-Rs are just a little small and force to have more costly DVD recorders with hard disc to allow lots of recordings during long absences, then, once returned one has to free disc space copying what he won't watch immediately to DVD-R, wasting time, so a 50GB BD, once recorders and blank media are cheaper, would be a welcome alternative.
OTOH, here I agree with FinalEvangelion and others, I don't think unlikely the coexistence of downloaded contents and optical disks and also I don't think unreasonable that BD could not become the heir to DVD if it doesn't take off before a newer and better optical disc or whatever else comes.
