ModularGrid
modulargrid.net
modulargrid.net
So why use physical synths on top of that? There remains their loveable quirkiness and fun component (especially with analog). There's also various arguments saying that the resulting music is better in some way - but that's more of an endless, fruitless personal opinion / classic flamewar topic, which I will now blame you for re-introducing, and blame myself for elaborating upon.
There is practically nothing one couldn't do with a software emulation of analog synthesis, but real hardware is more fun to play with for some people.
The beauty of modular is being able to modulate any unit parameter with any signal source at whatever speed you like.
That describes every problem that a computer might be called upon to solve.
The state of analog synthesizer modeling is very, very good, including emulating modular synths (Arturia, Native Instruments, and many others produce competent modular emulators). I say this as someone that has owned a number of analog synths, and, if I had the space for them (I live in a travel trailer) would still own them. Nonetheless, the notion that there are sounds unique to analog synths is mostly superstition at this point.
It is fun to play with it in hardware. But, it is not necessary to play with it in hardware.
The UI of a modular is great. There is (generally, a few digital modules have menus/modes) only one function per knob/button/jack. Everything is pretty obvious as to its function. The workflow feels creative, in a way that programming CSound or MAX/MSP never did to me. I sit at a computer ~8+ hours a day coding as-is, do I really want to do that for my instrument? I generally just set ProTools to start recording, and then turn off my monitor and ignore the computer.
Immediacy of modular synths is amazing. The sound you have now is now, once you unpatch or turn knobs you aren't getting it back. Even if you take photos, you're unlikely to get it back again. That's part of the great part. It isn't a preset that you're using. You're using something that you put together. For live performance, this adds a really neat aspect of danger. Is there really much danger (aside from a system crash) of hitting 'play' in Ableton? No. But the modular can do all sorts of stupid things, which leads me to my next point.
The chaos and entropy in these systems is great. Sometimes you use patch cords that are too long and get some crosstalk/resistance that you weren't accounting for. Sometimes there's noise. Sometimes things skip and don't play in 4/4 as you were expecting (I had a weird clocking issue/ghost in the machine last week, that caused it to basically make its own drum fills... without any unit dedicated to that). For creativity, this is like a drug. The sound you're making will almost certainly not be the sound anyone else is using- period. That's pretty damn cool.
Flexibility/compatibility. Voltage is voltage. If you don't care about tracking pitches to a 12-tone scale, then there are practically no limits to what units will work together. A modular from the 70's can patch in with my current eurorack, and also my Minimoog Voyager- your software from 1970's probably doesn't work great with your iPad. My modular has stuff from around a dozen makers, and I have another dozen guitar pedals, mini synths, and such that also can deal with control voltage stuff. I can make little Arduino toys trivially that will work with it as well. I don't have to deal with different plugin formats, outdated systems (Protools TDM anyone?), inter-system issues, etc. It just works and that's pretty amazing.
Of course, I do have a computer hooked up to my recording gear, but it rarely gets used until I really have the idea ready to go. I'm thinking of getting an 8-track tape machine so I can remove the computer entirely.
Mostly just weird noisy stuff. I gravitate toward industrial things, and I'm working on a grand album slowly.