Like the article stated, hardcore gamers are a niche market today.
See, that's the thing. Even though they might no longer be in the majority, and although a lot has already been learned in the last 25 years from our dollar, you can't afford to ignore the hardcore gamer.
Sure, you can churn out farmville clones all day long, and at 60p I'm sure loads of people will buy them. And in the year 2025, madden and Fifa will be cranking out the nth revision of ostensibly the exact same game.
However, true innovation and polish tends to come from the hardcore area of the market, from early adopters, and people who actually read reviews, and are willing to stump up £50 for a new game upon release.
With both Android and iPhone burgeoning with probably millions of games, most of them clones of one another, your game will have to be original, lucky, and fun to make any significant money, and the margins will be stretched further in the future.
All I'm saying is, for the most part, there's little quality control in the casual market, and there doesn't have to be, because games cost f*ck all, and you're probably going to play it for less than an hour anyway. It stands to be seen if people learned their lesson from the Wii and its shovelware (I believe they probably have), but you can release something totally broken on a smartphone, and all you're gonna get is about $5 and a bad review now and again.
tl;dr, Hardcore has to exist as the top of the pyramid.