I'm telling you, dude. Streaming is years and years away from replacing DVDs or Blu-Rays.
I said "here's what's easy..."
And it IS easy... you could argue that it isn't, but then you would be wrong...
As for quality... huzzuh? Streams are already WAY higher quality when compared to my entire disc collection. I have hundreds of standard def DVDs and none of them come anywhere close to the quality of my current (1081i) streams from Netflix. Not sure how it works for everyone else, but when I set up the streaming through my x-box, Netflix ran a test and automatically set my quality at 1080i. Maybe other folks have had their service dial down the quality? *shrugs*
Also, I have multiple friends that will never buy another disc again, as they have (not-so-legal) solutions set up and running at their house that makes all discs obsolete. Just around the corner from my place, a friend of mine has HTPC set up with a 60 inch or so LCD screen. They have Torr3nts running 24/7 which they can access and manage remotely from any of their phones. They have many, many terabytes of storage on the premises, with many, many titles available through a GUI right on screen. Don't see a title in the collection? They just dial it up on torrent and you are watching the film in HD quite soon on their set-up...
I'm not condoning all of this, but I certainly watch films over there...a lot. So, as you can see, this is already a household that has completely shed the disc-based paradigm, moving to 100% streaming content.
My streaming is definitely limited in comparison, but it gets better literally every day. And for me to stay with discs, I would have to start buying Blu-ray, which is a TERRIBLE idea, seeing how much i like films and stuff. I would spend literally thousands of dollars replacing my collection, and that's just to replace my current, relatively small collection of films.
Taccy's argument about the extras is really the only valid point that has been raised against it. If I run primarily streams on my system, then to me, discs are obsolete. What the rest of the word is doing just doesn't matter - it's completely irrelevant.