This means you can't pass the game around to your friends or sell it afterwards, which completely ruins the purpose of physical media imo. I mostly play PC these days so this doesn't affect me, but it's a disappointing direction for console games. At least they could've used an empty disc that has proof of ownership.
EDIT: Bethesda has confirmed that only the PC version won't include a disc. Physical versions of Xbox will include a disc. Whew.
When I was just a lad looking for my true vocation
My father said "Now son, this choice deserves deliberation
Though you could be a doctor or perhaps a financier
My boy, why not consider a more challenging career?" ☠️