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It really depends what context he was trying to say it from.

Niche is true if he is say comparing it to how people are currently gaming and or getting their entertainment.

Here he talks about streaming, so in his eyes, streaming of entertainment is a much bigger pie then console games only. If they can find the magic sauce that will allow their streaming service to work, on tvs, smart phones, tablets and computers, then suddenly the userbase is bigger. Suddenly those who cannot see the value in owning dedicated hardware may be willing to pay $20/m to stream games to their living rooms.

Personally i hate to see this happen, as I like collecting physical games lol