Paladin:
I think what he is saying is that gamers are a single market consumer. They are buying your product to play games and that is it. They are a large market, but not as large as we like to think. Think about it...if a game sells a million copies it is said to be huge...but in the grand scheme of things a million units is peanuts.
Techno Geeks are a larger market that includes gamers, but also includes technophiles that want the latest and greatest. When you add features like DVD playback, TIVO, MP3 playback, and such the logic is you are broading your potential consumers exponentially. And you know what...usually that logic is CORRECT.
The statement isn't a disregard of gamers, as much as a realization that to broad the market, and to grow to become bigger than the PS2 is currently you have to make your product appeal to even larger amounts of people.
In this case make a product (PS3, PSP) that appeals to the gamer, but also appeals to other markets. (Portable MP3 player, Portable movies, Portable mini-computer, High Defination movies, ect.)
These statements might be alarming and offensive to pure gamers, but it isn't as bad as people make it out to be. Everyone is really blowing it out of proportion and taking it out of context and kinda personally as well.