Entertainment software provided on physical disc – CD, DVD, video games – is in terminal decline. Paradoxically, this means that the content industries need to provide more support to the tangible medium, not less. The disc is still a hugely important part of the revenues of the entertainment sector.
Discs provide irreplaceable services. They can be easily bought on impulse, as a gift and for shared use of family and friends. Even dedicated digital buyers still purchase physical discs of the material that has greatest emotional relevance to them.
People over 35 are generally reluctant to switch to all-digital purchasing. These consumers now buy a clear majority of all entertainment software and will simply stop buying films and music when the disc dies. The content industries should spend more time and effort serving these people, slowing the decline of physical media.