Digital is currently lacking the freedoms of physical media to adequately share, borrow, resell, etc. They're trying to catch up currently but there's no way digital takes over the whole market, especially not within the next 10 years.
I think that would be ridiculous. Music started down the path to digital in the mainstream long before gaming did, but do you think physical media for music is going away this decade? My Barnes & Noble still has a quite large CD selection. And a huge DVD and Blu-ray section despite the pervasiveness of streaming for movies.
Physical's gonna be there for those that want it for a while.
Maintaining a digital collection just doesn't seem as fun as the physical alternative. I like to scan through my games like I'm scanning through a little library of books sometimes. Sometimes I like to look through them with no intention of actually picking one out to play. Sometimes I like to scan through them with a friend. Sometimes I like to go to a game store with them. Sometimes I like to hunt for used deals.
It's just a big change in the feel of consuming the industry, and people get too aggressive or defensive speaking on either side. It doesn't help convince people that digital>physical if you start the conversation like "What's wrong with you? This is the future. Your physical media sucks because ____."
I can see myself going digital in the future and not regretting it, but for all things gained there is usually something lost as well...
