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Steam Now Warns Consumers That They're Buying a License, Not a Game During a Purchase
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No, dialup was still common in the early days of Steam, game content was not largely being delivered as downloads yet and discs were still useful because it could not yet be taken for grated that a customer would be always online.
But I'd still rather download a game straight from the developer or publisher without an additional middleman. Privacy aside, the cost of that rent seeking from Steam gets passed along to you.
I vaguely remember having on the order of 5mbps "broadband" when Steam worn me down enough for me to give it a shot over the alternatives ๐. It was pretty bad at first, but it worked. But maybe broadband adoption was more of a thing in Canada back then.