A lot of people, myself included, are tired of upgrading movie hardware every few years for overpriced media that we can just stream online. That's one of the reasons blueray hasn't taken over the market the way VHS or DVDs did. It's just not worth paying double the money for a disc that doesn't give you double the entertainment save in rare cases where the movie actually does benefit (say Avatar or Star Wars).
A friend of mine collects laser discs, and even has one of those rare panasonic laseractive units with tg16 and genesis modules. They are pretty fun to watch, and they were miles ahead of VHS. They were luxury items though, most people didn't care. Sort of the movie equivalent of a Neo Geo AES. He also has one of those even weirder units that (and I am forgetting the name of the technology) used some kind of weird high def cartridge that held a 'high definition' record-like thing.
I had kind of a fun retro experience on my honeymoon a few weeks ago. We stayed at this cabin complex on the coast. All the units had VCRs and the main office had a huge VHS library. We watched a bunch of movies in that format, first time in probably 15 years.
Was pretty funny. Took us awhile to get used to 'rewind' again