Not surprised. While CDs are still better quality than most streaming services, they just don't have the same level of ease of use/convenience/portability as streaming. But now that I can get lossless/hi-res on streaming, I can get even better quality recordings than CDs with zero space sacrificed to jewel boxes in my small house. And even with non-hi-res services like Spotify and Pandora, most consumers will just not care about sound quality anyway. Convenience in the end wins.
I recently disposed of over 30 years worth of collected CDs. I've probably put thousands of dollars into this collection in that amount of time. I have no regrets. I didn't even sell them. I just dropped them all off at a Goodwill. They were taking up so much space in my house, and a lot of my old CDs were starting to rot. Most of it is available via streaming, so I still have access to those tracks. I did keep a few rarities on hand, but without a CD or DVD player to play it on inside the house, I guess they're just going to continue collecting dust. This reminds me of my transition away from cassette tape... at one time, the only place I could play a cassette tape was in my car. Same with my CDs now, and that CD player isn't being used unless somehow my cellular connection went down in the car and Spotify couldn't stream... FM radio I may have used once. And now I'm stuck with the same 6 CDs I have forever ensconced in the CD changer cartridge.
Today, the only sources I have at home are vinyl and streaming, granted it's only Spotify and not a hi-res service like Tidal. I love my records, and enjoy the process of flipping through my shelves, pulling off the record sleeves, finding the right track and dropping the needle down. But there's something about the instantaneous access to music that Spotify gets me that cannot be replicated anywhere. The instantaneous access is the killer feature.
And if I want true hifi, I still have my vinyl. I don't care if I don't own my music with streaming. If I really want to own it, I'll download it from somewhere and keep a copy on a hard drive.