re: Playstation Next-Generation Plans, Interview with Mark Cerny (PS5 Info)

While definitely dying out, physical media is still much more popular in Japan than in the US from what I understand.

There's still a large enough audience of people who want or need physical that choosing not to have any physical support is a move that cuts out a decent chunk of potential customers.

If you were going to do that, the new XBox is probably doing it the right way. Make it an optional feature that people can choose to pay a little extra for if they need it.