Earlier quoted context omitted.
$400 for a current console and $60 or so for a recent game. Assuming you buy the next gen after 3 years or so there's quite a budget invested in the gamer's part - a streaming service at maybe $20/month that gives you access to recent titles doesn't look that bad in comparison.
Even with a very conservative 3 year lifespan of a console (5 years is closer to reality) 20 dollars a month over 3 years is 700+ dollars and at the end of the day you don't own anything. It seems like a pretty bad deal overall.
If you mean to keep a copy and be able to play it again anytime in the future, then yes I'm with you. However, most of the games are either thrash or doesn't offer much replay value, which means that once you're done with it that will stack up somewhere and collects dust.
One point though is you can trade games that you own, which has some appeal.
People used to bring the same argument for music streaming vs buying a CD or digital copy. See where that brought us.
Convenience wins most of the time.