I think there are things (like nuclear plant controls) that should probably remain as physical things. Items such as those 'rotary switches' they were touching, for instance. In an emergency, you might have to switch a whole row of them. With physical things, you can look for the first one, get your hand on it and twist, then with minimal if any observation of the control board can then work quickly along the row throwing each in turn while perhaps monitoring something more important. With a touch panel, you need to look at each to be sure you touch the right spot on the smooth, featureless panel, and then confirm that the control has actually toggled (I admittedly don't know what if any feedback is provided when the controls are actuated, but doubt it'd be as clear as the tactile click you'll feel when turning a physical switch).
And lord help you if the panel BSODs on you, or decides it doesn't like your finger today because it's too dry, or too moist, or...
It strikes me as an interfacing fail, but that's just me - I'm old school and prefer dedicated knobs and switches to soft controls.
-Pat