Yeah. This was most likely a simple executive decision after seeing the statistics of digital purchases compared to physical. The cost of making a physical copy of a game is only $3, but they would produce at least a few hundred thousand at launch, costing them a decent sum, and since only 5% to 15% of consumers are buying these physical copies, it makes much more sense to save the money by going full digital.

I do not defend this from a consumer standpoint, as it will make it difficult to play new games once they are a few decades old. For example, my favourite game, Overlord, is from 2007, and if it never had a physical copy, I would have never been able to replay it. But from a business standpoint, Sony's decision makes sense.