Regarding your final five points:

1. Yes, they can and do. Two of my all-time favourite films not on streaming, just off the top of my head: The Innocents (1961) and Rebecca (1940). I own physical copies of both on Blu Ray and DVD, respectively.

2. Not single-handedly, but yes, in a sense, we are. Especially for the masses who don't have access to film vaults.

3. Yes, the quality on Blu Ray is better. I won't bore you with technical details.

4. No, it won't, alas. But encouraging people to buy physical media is vital, to take a stand against censorship and cancel culture, for one thing. Films are being removed not just because of rights issues, but censored on a whim (several titles on Disney + have been snipped for various reasons), and sometimes removed entirely, depending on what celebrity said or did something stupid this week. It's insane.

5. Yes, they should (see point 4).

Of course, your reason for collecting physical media is valid too. Indeed, it has always been my main reason for collecting. But I have never trusted streaming and I never will. Trusting stewardship of art to "the cloud", and all the dubious corporate interests that control it, is madness. The same goes for music and books, by the way.

Physical Media Forever.

More of my thoughts on why physical media is so important here: https://fanfare.pub/own-nothing-and-be-happy-no-thanks-d7298e51f594