Sony are still in a war - Blu-ray may have beaten HDDVD, but the future is downloads directly to your TV. (Either through your computer and home network, or Apple TV, or your XBOX for example).
Apple, Microsoft & Hollywood Studios, even ISP's have their own solutions either out or in the pipeline.
Netflix had announced (pretty much within the same week) that they would drop HDDVD and that they plan on delivering movies to your XBOX
So the new war is Blu-ray v Direct Download. (directdownload.com taken btw
)
Both can exist together sure - but as the price of memory goes down people like the ease of file, music and video storage on devices not a disk.
For example would you like to use a remote to start a movie on your screen, or get up open the drive and put a blu-ray disk in, then close the drive, then sit down again?
Humans innovate through technology, and the saying goes:
"The father to all innovation is laziness"