I love working remotely because it has allowed me to run my business while travelling around India. But I still feel my work would be more efficient if I was sitting next to my co-workers. There's some intangible quality involving instant feedback, body language and social interaction that would make our communication more direct and engaging.
Despite all the advances in technology for working remotely, face-to-face remains the best even for digital businesses. Facebook and Google are evidence of this: working remotely for these companies is the exception rather than the rule.