My collection is mostly SACD, and I listen to DSD downloads as well...and I still kind of agree. But I agree in a retrospective sense, as in "I wish Sony/Philips and the DVD Consortium had realized that there was no point having a format war when there's barely a market for an audiophile format period." Nowadays playing DSD is just part of the audio game, and most equipment plays all formats.
Although we tend to think of SACD and DSD as being driven by audiophile considerations, it really had much more with the term of a patent - 20 years. The patents on CDs had nourished Sony and Philips for 20 years, but were about to come to an end (see here, along with hilariously dated comments:
https://www.myce.com/news/Philips-hard-hit-by-CD-patent-expiry___-1122/). So Sony and Philips developed a new more advanced system for digital audio, to be protected by patent another 20 years. Sony had already started archiving its catalog using DSD (so the choice of DSD wasn't totally arbitrary and has audio benefits), so they settled on DSD as the format of choice, with multichannel added at the insistence of Philips. The format was heavily copy protected as well, being designed to take full advantage of laws recently passed around the world making it illegal to bypass copy protection, even if the copying would otherwise be allowed, and a crime to distribute devices to defeat copy protection. I had a conversation with a lawyer who helped develop SACD for Sony who was a bit surprised I listened to them - he thought it was just a way to leverage the new laws.
Of course the other members of the DVD Consortium had their own ideas, and the DVD-Audio format hewed much closer to the DVD-Video format and its patents. With the benefit of hindsight, it would have been better if the industry of the late 1990s had seen the storm that was coming and recognized that the mass market wouldn't be all that interested in the competing formats they had devised, but hindsight is exactly that. I think if they had known they would never have bothered with SACD/DSD and just focused on the DVD-Audio standard, likely in hybridized form. Whether the market was interested in one audiophile format in the late 90s is open to debate, of course.