Sorry, but convenience trumps all for the majority of us.
The current - and probably irreversible, save for a complete collapse of our society and infrastructures - situation with physical media is a consequence of many factors.
The ephemeralness of audio and (especially) video media that existed until the VHS era brought people to desire they could rewatch the stuff they wanted, when they wanted. Before home video, if you’d missed something, it was gone.
Then home video hit and it was a success, but it came in an age of restless technological development. Format wars ensued. Physical media evolved. We had VHS, then we had to rebuy the same stuff on DVD, then Blu-Ray, then 4K Blu-Ray. Physical media revealed itself to be not so durable after all, needing to be improved and rebought periodically.
Meanwhile, media production didn’t just boom in the last three decades - it positively exploded. Globalization meant that movie and music industries that were very much their own regional thing, suddenly got attention from the west. More stuff gets produced every year. Now imagine wanting to keep your favorite media collection up to date with the latest video tech, while tons of new interesting stuff are getting released daily. More and more physical stuff, while housing gets more expensive. Also, there’s so many things to consume, and so little time. The physical stuff people thought they’d rewatch endlessly a couple decades ago, started piling up dust on shelves, then getting boxed up and stored away in basements and storage houses, never to get used again.
For gaming it’s the same, except games are even more ephemeral. More people are willing to rewatch an old movie than replay an old game.
Last, physical media has a high cost. A single 4K BR movie costs as much as 2 or 3 months of any subscription service. How many people will tell you it’s worth it?
Too much stuff getting produced + finite storage space + so much to consume + so little time + shorter fads and shortening attention spans + high cost of physical media = can you really blame people for caving in to the convenience of not owning media?