I just think digital will be the near future, not today, not tomorrow but also within 3 to 5 years...
Moving parts will be gone for movies, imo, expansion of current media will make DVD's of any kind obsolete. Not necessarily downloadables but even purchased on a higher capacity SD card, or similar.
http://www.ubergizmo.com/15/archives/2007/01/_32gb_sd_cards_in_2008_1.html
Imagine your entire movie collection fitting in a box the size of an old single VHS tape box.
As far as the Fiber optic thing goes, I had no idea it was not available that widely. Cox, AT&T, Verizon.. I thought it was becoming the standard...