As much as I enjoy the convenience of DD, I don't see the industry abandoning physical product. For me the one great thing about physically owning a game is the option that, when I am done with it, I am able to return it to EB Games (or another gaming store) for credit that I can put towards new games/consoles.
With DD you buy the game and then you are stuck with it even after you complete it/become bored of it.
With DD you buy the game and then you are stuck with it even after you complete it/become bored of it.