we need a new dvd player anyway because the current one (which has lasted about 7 years is faulty now). i have many dvds i still need to watch, and ive started to swap with some friends. there's no way we will be getting rid of some of the dvd's we have. in fact, my brother is looking to get some box sets on blu-ray... so i guess that's the preferred format.
i see what you're saying though, because media servers stream on demand and solve the physical space issue. would be nice...