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Not everyone has high-speed fiber internet connection. It takes me like 7 hours to download a 5Go game (Trials Fusion) and I can't stream 1080p movie.

Buyin' Blurays since I got my PS3 back in 2008 (now have 100+ BRs), and never bought a single DVD since then. The difference is HUGE, just try Alien DVD versus BR, or even Inception DVD versus BR. I'm not even talking about the sound here, only visuals.

I just watched Avatar on BR yesterday on my 50 inches plasma Panasonic ST60 : drop-dead gorgeous. Have never seen anything like this before.

I agree prices can be a problem, since BR cost ~30% more than DVD at launch. Just wait for promotions or packs, like amazon usually proposes.