Sorry to say, but streaming plus subscription is the future.
Not long from now, Sony, MS and Nintendo will be sub/stream only services.
This is also a good thing for the public. No longer will we need to splash out £70 for the biggest release, but we'll be able to play everything with just a small, monthly sub.
I know I keep harping on about this, but I'm really excited about this revolutionary future.
Not to offend, but I disagree with every single point you are making.
When game ownership takes the backseat, people will treat games even more as more disposable than they do now. This will ripple into development, where indies will be disheartened from making that passion project for 1/125th of a cent every month from GamePass 2.0. Meanwhile you'll have stagnation of genres and IPs, which we're already seeing. The big players will eat up the majority of the revenue for the subscription model, and the homogenization of genres and game types will ensure that only one or two of them will even be "Successful" by corporate metrics, meaning earning ridiculous enough sums of money to make the ever-greedy investors happy.
The overall quality of games will suffer as a result, DLC and microtransactions will not stop, and will likely increase with them becoming normalized and accepted in the community at large.
The only thing that could save gaming, in my opinion, is a huge crash, and for major investors and casual gamers to leave in large numbers, so it could get back to the enthusiasts that originally made it a fun hobby. With Netflix and Hollywood sticking their dirty shitty fingers into gaming now though, it's more unlikely than ever that it will happen.