Interesting way for Microsoft to test the waters. Now that digital has picked up for the past few years, and with them heavily betting for Azure, I can see this iteration being a small success.
Maybe this will be what will tell them whether to go fully digital next gen or focus on both physical and digital.
Full digital is out of the question, unless they want to risk another shit storm and fail at the beginning of the gen.
Everyone will go full digital in the future, it's inevitable. I see game stops closing shops all around my area (used to have 5, but now we only have 1).