If you knew what you were talking about...
Pot-kettle much ?
I think sexconkor is pretty spot on regarding Joe-average usage of storage and what goes on it.
I'm not saying that you are 'lying', it's just that you probably move in 'media-heavy-circles' and reality might look a bit distorted to you.
Simply address 10 people in a 'random' location that is based on something different than your choice. If you have kids, simply address some of the parents of kids in your children's class and ask them about their computer habits. You might be surprised to learn that
* a big part of them don't give shit about computers; they have their phones and tablets and an SD card of 64Gb to store their photos is the ultimate Valhalla for them
* a big part, when asked about 'the internet' will tell you that 'the internet' is that thing that comes with Facebook
* a MINORITY will know the actual difference between OS's (not just windows = work + ios = shiny + linux = hackers); heck, I have had to learn to restrain myself form getting upset when they show a total ignorance when it comes to the difference between RAM and disk. ("My computer said out of memory but I still had 298Gb free ?! I didn't know what to do so deleted some pictures and after that it worked again." ...aarrrgg...
* a few might in fact be using the computer for all kinds of things : gaming, accounting, creativity, ... Often those are either hobbyists on computer related stuff or people that use the computer heavily at work and simply see it as a tool for their needs at home.
* some of the (usually) younger WILL be hoarding movies/music/etc.. and yes, they do spent quite a bit of money on storage, usually adding external disks etc as time goes by. Portability is important for them; and Gb/$. Speed is way down the requirements list, as is reliability. If the drive fails they can simply copy it again from a friend. IMHO, for most of them this is a phase that will pass as they grow up (**)
* and maybe, just maybe, you'll find 1 or 2 that actually take up 'storage' serious and have pretty decent setups at home.
But in general, the GP is right and people don't link the /concept/ of video (or music) with their computer. To them it makes more sense to watch video and photo's on their TV (at home) and/or their phones (on the move). I'll admit that it is "wasted potential", but it is the way it is and who am I to fault them?
(**: FYI: I amassed a shit-load of cd-roms full of MP3 music when I was young(ish); threw them all away last time I moved; never listened to them... I've heard similar stories from friends)