Reasons why I don't like downloads are:

1) Paranoia: giving out credit card info etc to an industry known for its high ethical standards, servers keeping track of and storing my "viewing" preferences for the next 100 years

2) that I have to keep track of the files on my computer/computers/external drives - I'm lazy and disorganized, I hate filing. How much easier is it to look at a pile of dvd boxes with pictures on the covers that help remember what is on a particular dvd, and where that on scene is hiding that actually turned me on...

3) my computer broke. Did I back it up? Yes/no/maybe/not recently/not those files/yes but I can't find the one cd with the backup/yes but for some reason those files didn't burn right on my backup dvd/etc...

It's like iTunes. It's great for some uses but not always. I doubt digital downloads will entirely replace cds/dvds, unless technology improves.