It looks like these streaming services have been hemorrhaging cash for years now and they just can't hide it any more. They're going to have to take drastic steps to try to become profitable - remains to be seen whether customers will bite. OTOH, we don't have the infrastructure to go back to the days of DVD rentals.
amazon is perfectly capable of doing the old disc-based netflix/blockbuster model if they want - actually it would complement their pivot into distribution and shipping perfectly. Just some mylar mailers and a bunch of BD-R blanks - licensing is another matter but what is the logistical problem? Print QR code and put on disc, send it out, get it back, scan QR code when it's "returned" and goes back to inventory...