"putting the final nail in the old idea that consumers won't accept premium content distributed online"
Apparently they have never used Netflix streaming.
Unless "Toxic Avenger" is now classified as "premium content".
And as I said here:
those digital movies bring in far less money.
Those 3.4B digital views will make $1.7B. Those 2.4B disc views will make $11.3B.
Raise your hand if you think Hollywood studios would rather have 1B more digital viewings, or ~$10B more money?