According to reports from MacRumors, Apple plans to eliminate boxed software. This is probably due to the success of  iTunes and the Mac Store.

There’s little need for boxed software every time you download an iPhone app, but what’s going to happen to popular items that are not available for download, such as Microsoft Office and Adobe Photoshop. Could this be that Apple will be replacing all its CD’s in favor of the SD card and does that imply that the iPad 2 may feature a SD slot?