- "When my harddrive/memory stick dies, the game is gone with it!"
Actually there are 2 situation:
steam like: let you re-download your game anytime (Makes the argument irrelevant)
1 time download link: In those case, you can back-up your software installation files on a external HDD or dvd (and you'd be a fool not to do it), which is better than game cartridge/disc where you can loose your game for good more easily.
- "Digital copies often have DRM or protection which means you can't copy them without hacking!"
that's a pc gaming quirk: you can't share games with your friend as easily as you can with console game cartridge/disc (depends which games, but mostly those that rely more heavily on online gameplay), it was that way before digital distribution (GOG is DRM free)
but I also am not investing $400-$2000 on a gaming PC so it's kind of a wash...
I always laugh when people say that cause people needs a computer anyway and the big difference between a well built office comp. and a decent entry level/mainstream gaming comp. is about 120-150$ (the price of a gpu) which is actually cheaper than a gaming console + accessories + office computer.
About game prices, in the computer game market there's a lot more competition and games are priced more aggressively, games never usually keep their full price tag really long which is a striking contrast with console game where you know that almost all of the games on shelves are priced 50-60$.
And when it comes to game availability, I've always had this problem with console game where I see a good game that came out like 3-4 years ago and no game retailer in my area has it (not even in the discount bin or used section), the clerk tells me that I can't order it either and I end up pirating it. ( well, after a few times I got bored and now I just pirate right away). The main ache about physical console game sales (and to a lesser extent computer games) is that you have to buy it during the 1-2 year shelf life of the game if you want sure to get a copy and most of the time pay the full price, even if you don't feel that the game is actually worth that much.