I would prefer to get a CD than do a paid legitimate download, because I know the music is ON the CD and OFF of my computer. You'd be surprised how quickly the file size of a collection of good MP3s add up. Oh, sure, you could burn the downloaded MP3 onto a blank CD-R[W] CD and format it to play like a regular audio CD, but that's just not the same as getting it factory pressed. Not as reliable, I would think. Same thing goes with downloaded movies. I would much rather have it on a factory pressed DVD than either taking up space on my computer or do a risky and likely-to-fail burn job on a DVD[insert any of the several recordable DVD prefixes they have made] that probably wouldn't last as long, anyway.
VHS tapes have been seeing the trash bin for some time, now, but they don't appear to have been completely phased out yet. They're still selling a few combo players, as well as even selling VHS tapes in some Toys "R" Us stores I've been in. I suppose cassette tapes have a similar story to tell.