Digital version VS Retail Version

There's no difference between digital and retail. Obviously, you don't download an iso (seriously? :P) You use the Impulse client (which you will need for patching and re-downloading, but not to play) to download and install the game. It can make a backup archive for a hard copy, but it's encrypted and only Impulse can install from it.

The more expensive version is the CE, which has typical CE stuff. Poster thing, a Rook miniature, and access to a Demigod desktop theme (which isn't ready yet).

I think what hes asking is if he downloads it and archives it off to CD and the stardock goes broke will he still be able to play the game?

Well, multiplayer is quite obviously tied to SD, so if the company goes broke the MP portion will become a bit more limited, but yes, he'll still be able to play. There's also Impulse Anywhere, which is web based and allows you to download an Impulse archive that doesn't need an internet connection to install. So if SD goes under, those archives will still work just fine.

The reason the digital download version is cheaper than the retail version, is that there are more middlemen involved in retail distribution. CD/DVD has to be pressed, manual has to be printed, boxes have to be put in trucks and driven to stores, etc. All those middlemen want to make some profit as well, whereas the digital download is very direct and almost entirely under Stardock's own control.

You also get a soundtrack CD with the CE box.

-HM

In Canada at most places it's cheaper to go with the retail version as your saving the exchange.  At EB the collectors is only 5 dollars more, but not sure if it's worth that as you get a cheap cardboard case for the discs and I'd much rather have a real case.  Although the soundtrack is good if you'd listen to it.. the figure and poster are not, okay maybe the Rook figure is worth a couple bucks (2 max) if you like that sorta thing.