I requested an article through interlibrary loan last month and received a message a few days later canceling my request because a PDF of same is available online. The ILL staff even helpfully included the link to the PDF in their communication:
Something similar happened with an interlibrary loan request I placed in graduate school. (In the interest of full disclosure, the rockiness of my relationship with the Cornell interlibrary loan office throughout my time there is now the stuff of legend in certain circles.) A request I had placed for a specific 19th-century German study and edition of the Sefer Musrei ha-Filosofim was similarly cancelled because it was available as a Google Book.** That was a problem. I hate reading on screen, and the eBook was not printable; and what's more, the scan was made from a copy whose pages had yellowed badly since 1896, making the digital reading that much more difficult.* And I couldn't have a physical copy of the book because of the existence of that electronic version.
In the all's well that ends well department, I made a fuss and the excellent and bibliophilic Judaica librarian intervened on my behalf, tracked down a copy from a university whose name I no longer recall, and prevailed upon the interlibrary loan office to request it. But the larger point still applies. I don't think I should have had to go to extraordinary lengths to have the hard copy of a book in my hand. Clearly the role of the library is changing, and I don't like it very much.
*Interestingly, in going to look for the link again close to three years later, I see that either a new digital copy has been made from a paper original with less damaged pages or Google has digitally lightened the pages.
** As a greater pen than mine once wrote: "I bear witness that the library is infinite."