The convenience / sound quality balance has shifted because things like Sonos are very convenient, even though the sound quality has, if anything, gone down for the price. Certainly the convenience of streaming has curtailed the AVR market, since streaming has shit audio.

But SPDIF is limiting you to DD at best which is 640kbit/s IIRC. Steaming services are often DD+ which won't go over SPDIF. I've got discs, so looking at 18Mbit/s on some soundtracks. My $600 Yamaha amp was absolutely better than an SPDIF setup.