Yes anyone that thinks sreaming will kill physical hardware is delusional.
Streaming works and works great and has the potential to be the dominant format but local hardware will always exist at least in the PC space.
My issue with this is that I can totally see the options being taken away from us, at least by the big publishers, if they opt to go streaming only, and I think the only limiter there for now is that it's not economically viable to make that switch *yet*, they'd lose out too much by doing that right now, but as streaming grows, that becomes more and more likely.
I say this mainly because I expect the draw of No Piracy and Full Control over their game to be immense enough that it's worth the switch eventually. Heck the control alone means mods and cheats go out the window so they can just sell those to us in microtransactions (which they're already doing now where they can), or fully control what and how much a mod can be modded (like only certain asset changes or something).
On top of that, depending how the game streaming is delivered they could get a bigger cut. If they're the only ones supplying it on their own streaming service (I have no doubt big publishers will go this way) that's 100% off every game. Alternatively if they instead back something akin to Geforce Now, that only delivers streaming for a price but only works with a copy sold from the publishers store, that's also 100% of the profits.