As some people already said I think it will be similar to how PS3 is now. Many games available at retail and only a few small titles exclusively on PSN.
Of course didital distribution has big advantages, but there's one concern I'm really worried about. That is, will I be able to play the games I downloaded 25 years from now?
What if some of the games I downloaded got pulled because of some stupid licensing issues? What if the respective publisher goes bankrupt and the game won't be offered any more? Then I couldn't download it to a new console in case the old console with the game installed breaks.
With games I buy on a physical medium I can at least guarantee that they will work 30 years from now when I handle them with care and my house with the games in it doesn't burn down.
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