He's effectively declaring that his customers are stupid ("He feels the general audience is losing its ability to understand the meaning behind narratives that they experience.") and don't appreciate his 'creativity' ("the Japanese audience lacks a certain respect for storytelling").
This happens all the time to creators of movies, music, books and video games, and it signals only the end of his career (not the medium's viability) because anime production is a business; you have to produce what the customers want to buy, not what YOU want to make as a creator. There have been plenty of 'art' books, 'art' albums and even 'art' video games that have been the latter and failed to sell well.
Quality is determined by the customer. If the creators diverge from that, it is their fault alone that sales don't hold up. No matter how talented they are. If the artist produces something that is both quality and appeals to the mass market, it will sell amazingly (Wii Sports, Star Wars, Harry Potter).