To most people under the age of 30, it seems like actually having a physical item with their video, music, or game on it is a detriment rather than a benefit since they don't value the physical item and the control that goes with it.
I think some of that may come from different backgrounds - when I was a kid, my viewing choices were limited to a) what my rabbit ears could pull in (my parents didn't have cable, and we barely got broadcast), b) what was playing at the movie theater (still a limited option because getting rides to the theater wasn't usually practical), and c) what the local video store had. I was into ownership from an early age with movie collecting because, if I didn't physically own a tape of it, there was a good chance I might not be able to see it... for days, weeks, years, maybe ever. I had a passion for movies, time to watch movies, but not a lot of opportunity to actually get my hands on movies. It was even more extreme for television shows - if I missed it, that was pretty much it. Maybe a broadcast network would rerun the episode I missed over the summer, and if a show was a huge hit, maybe the episodes would go into syndication a few years later... but if I just forgot to set the VCR the night before? That was that.
For younger people growing up today, there's simply a different reality out there. DVD has been around for over a decade. DVD changed the viewing universe in so many ways. Cable television is much more widespread, and both the sheer amount of channels and the ease of DVR viewing, not to mention the various legal webservices, means that an episode of a TV show is almost never truly "gone" in a way it seemed to be twenty years ago.
I agree that the younger generation doesn't seem as into physical media collections (be it books, music, movies, tv shows) as older ones do, and I think at least part of that is because they don't see ownership the same way we do. As I mentioned above, I grew up in that background of, "If this is something I enjoy and I want to see it again, it's on me to do something about that now to make sure I can continue to have access to it." People today grow up in the context of "Anything I want, I can have it at the touch of a button" - I mean, it's like Star Trek kind of futuristic. The concept of ownership has changed, and I'm not even sure that some younger people even understand completely that there's no inherent "right" that we've been given to have a certain title at a certain time. When I speak to my younger brother's group of friends, or younger colleages at work, the attitude is that they'll check Netflix streaming or OnDemand on their cable box, and if the movie they want to see there, they'll watch it, and if it's not, they'll just find some website to download it from, and it doesn't register to them as "piracy" or "stealing". Some of these people don't understand why I collect these space-filling things when I could have it at the touch of a button. They've never had to live in the old-fashioned analog world. They never had to rely on what was on their shelf at home because there was nothing coming in on the TV antenna. Same way they never got sold out of a show at the movies and had to wait until the next weekend to get in; they've never lived in a world where there weren't 20 different screens at each theater with showtimes starting every half hour.
I'm in love with physical media, but even with those strong feelings, I've come to embrace all of the different options available today. (When we live in a time where most movie theaters are showing stuff off of hard drives and not film prints, it's hard for me to not be open to a similar concept at home.) I've noticed that I almost never rent or borrow physical discs from stores or friends anymore - if I'm interested in seeing something but not blind-buy interested, I'm much more likely to stream a movie than go out to rent a disc. And as much as I like reading books on actual paper, I've discovered it's nice to pack for a vacation or even the daily commute to work, and have a small Kindle that can hold lots of books and fit in my jacket pocket, rather than carrying a backpack with six different books. So I think there's a place for all of this, and I'd like to think there's a future where my bookshelf and Blu-ray collection can peacefully co-exist with my Kindle and Roku. I like best of all when I can buy a disc, and get digital copies included as a way of complimenting that purchase.
When we talk about ownership of physical media, the thing that sometimes is left from the discussion is that your ownership applies only to that one particular copy of the item. I agree that digital "ownership" does leave something to be desired in confusing terms of service and questions on how long access is guaranteed. However, that said, if I lose a disc, if I loan something out and it doesn't get returned, if the disc goes bad or is damaged, that's the end of my ownership. You can't call Warner or Paramount or anyone else and say "Hey, so I used to own this movie, and I can't seem to find it, but I swear I paid $20 for it -- just send me another one, will you?" (Fortunately I don't lose or break a lot of stuff, so it's not a frequent issue, but the potential is always there.) If you own a Blu-ray and want to watch it with a friend, but you left it back at your house, you can't walk into the local store and say "Hey, I already paid for this, so I'm gonna just grab an extra off the shelf and take it, thanks!" One of the nice perks of digital "ownership" is that my ownership isn't of one specific copy of one specific feature, it's of a license to view that film - so if my digital file gets corrupted, if I'm at a friend's house and I decide I want to see a movie I don't have with me, I've still got access to the movie. Is that worth as much as a physical copy? Should it be? I'm not sure. But it's hard to deny that there isn't some form of value there.
I still get excited opening the shrinkwrap on a new disc, or buying a ticket to a screening of a 35mm print of a classic film. On the other hand, there's something really cool about being home alone late night or on the weekend, feeling like watching something, and knowing that even though the local movie theater and big box stores are closed for the night, even though the video store went out of business a year ago, that I can still watch a movie that I don't own and don't have a physical copy of, all on a whim.
(Sorry, this got a little more long-winded than I intended!)