I guess I consider my media consumption hybrid.
I will personally go out of my way and am willing to pay more for physical media, as long as it isn't totally crippled by some crazy DRM scheme (code in a box, Switch 2 key cards, game discs without the actual game, etc.). My game collection, especially Switch 1 software, is admitadly ridiculous and probably unnecessary. With everything being key cards on Switch 2, my collection there is paltry. I also have a pretty sizable collection of movies and several TV shows as "complete series" on a range of DVD, Blurays, and a handful of 4K stuff.
That being said, there are lots of areas where I go digital. Steam is probably the worst offender for me personally, as I own license a few thousand games digitally there. Even still, I prefer GOG since it's totally DRM free and have hundreds of purchases there as well but still digital. My wife is hugely into K-Dramas, so I have an ongoing annual subscription to Rakuten Viki as it's seemingly impossible to find any of the shows she watches in any sort of physical form (unless you're willing to buy Asian bootlegs, which I am not).
I own a lot of blu-rays, and tons of them came with digital codes that I've redeemed. Even though I could pull a movie off the shelf to play it in higher quality, I'll usually opt to just stream the digital copy instead. Back when Walmart owned VUDU I got a lot of my other DVDs and Blu-rays converted to digital for cheap, so I have a pretty sizable Movies Anywhere digital collection (just looked, 690 movies). I have a lot more on Fandango At Home, formally VUDU, as a lot of the movies I converted at Walmart weren't on the MA program. (just looked, 969 movies).
So the system I have kinda works for me. I have a lot of digital stuff purchased, but most of it is backed up by physical media that will still be useful if a service, studio, or game company shuts down their servers.