With Terabyte hard drives and such storage is not the problem for most people who are willing to spring for an external hard drive.
Newwer games require more data and compression is actually handling a lot of that.
Also, smaller games are coming back into vogue with handhelds, iphone(cell phone) and ipad titles, retro gaming, flash and browser based games and arcade titles. There are also games like FarmVille and the like that have small file size and low system requirements.
This, more than any other era in gaming, is a time when you are most likely to find whatever you want.
All of that being said, I do see your point (Storage for hardcore/hobbiest gamer is at a high demand and increasing as a function of time)but hopefully this response gives you some context in which to frame it.