I am happy to be a dinosaur. Movies are for pleasure, and to me that means watching a quality version on a TV screen, plus I never feel quite comfortable with downloading things from the net.
I am sticking with my DVD player as long as possible, but I will switch to Blu-Ray at some point. My only quibble is that apart from the local library it is almost impossible to find a place that rents DVDs.
Renting DVD's is quite common where I live because of Redbox.
And you're right, watching movies is for pleasure so, for me personally, I don't really care much how they are shown. I will never stream so I'm sticking with the DVD/Blueray for as long as they are available.