Hand drawing is still valuable
Drawing by hand is not outdated, and it is very valuable. It's a competitive advantage in the admissions process.
Most students today are fluent in digital tools, and increasingly use these as a primary way of producing creative work. Fewer have developed the observational skills, sensitivity to touch, and confidence that come from drawing by hand. Those students are standing out - more and more.
The best portfolios aren't remarkable because they use sophisticated software. They are remarkable when they reveal how a student thinks, observes, and solves visual problems.
Technological tools will change. The ability to see will not.