What seems sad to me is that with fewer writers using the old school approach, there will be fewer chances to see a first draft in all its muddled glory. (Track changes just aren't the same.) Shakespeare may never have blotted a line but most writers blot and scratch out at will, and a first draft is fascinating to read.
Case study. Charles Dickens. Here is the first page of A Tale of Two Cities...
I love this - it's like watching him thinking. Of course, had Dickens had access to a laptop, he would probably have written about 97 more novels. (Though there are those who think he would have been writing soaps or screenplays, who knows?) But in any case, there it is. He didn't, and we are the richer for it.