Physical media is massive for the global south and generally more impoverished people, you can buy used game discs much cheaper. Another reason why forced always-online for single player games is terrible, multiple reasons, but if you are poor you have less access to reliable data. If you are of lower wealth you more likely have less storage space and slower internet speeds also which makes it more inconvenient. I agree with the idea of digital only in that it takes less resources to produce but it benefits the corporate profits while hurting already disadvantaged people.
Another argument separate is preservation of media. By removing physical media publishers can maintain control of the property and cause the loss of media which could have historic, social or educational value. It would still be possible to preserve the data but with more difficulty either physically or legally.