Its a bad thing for two reasons:

1. It destroys any form of ownership people have over digital assets like games, movies, etc.
2. No ownership destroys the second hand market. This hurts for a number of reasons:
3. Preservation can now only be done illegally
4. Access to gaming and other media becomes more expensive
5. Large corporations get to decide what you can / cannot play. Removing games from storefronts and consoles is a lot easier than hunting down physical copies.

That being said I have no issue with digital only, we just need legislation that forces some form of “ownership” beyond just a license.