satoru: 1) Japanese companies and even consumers have really not gotten on the digital download bandwagon yet. And they're going there kicking and screaming
This situation is not all that dissimilar to Europe, only here in Europe the companies HAVE got on the bandwagon, and they're trying to shove it down our throats.
I think Japanese consumers are a lot like European consumers in that they don't consider games to be a throwaway commodity. There's a much more marked attitude towards buying a game and keeping it in the long term. Look at Amazon or any retail store, and you'll see that retail PC gaming is alive and well, whereas in the States, it's hard as hell to get anything on disc these days apart from a few core titles sold online.
I dismiss any notion that DD will replace physical media. Instead, I see it as a complement. I love GOG because it provides me with those games that would otherwise cost an arm or a leg to buy secondhand off eBay. I use Steam on the odd occasion for very cheap triple-A titles and indie games. But when it comes to buying recent major titles that I want for 20, 30, 40, 50 euros, then I want something for my money.