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I think consumers will always want a way to store data on hard media. All this hype about cloud computing and digital distribution reminds me of electric cars. Sure, the theory is sound and it would be great if everyone used it, but people have to WANT to use it, and I don't see that happening right away. We're moving towards that end, but the transition will be slow and just like gasoline vehicles, hard media will never die.
When was the last time you burned a CD?