No, I don't agree with him. How about designing the game around mid-range PC's? Still head and shoulders above consoles and one could tweak it down for consoles and up manually for high-end PC's.
Who designs games around the most crazy PC's anyway? Crytek? They make shit games anyway.

He makes sense. Developers go where the audience is and for a while thats been on consoles. PCs have always had graphical superiority but the difference between PC and console is getting smaller and smaller with each generation. Add to that the fact that now consoles are getting features that the PC used to have exclusively - MMOs, online gaming, streaming and other apps and now you dont really need a PC. If you look at developers, recently a number of pc exclusive games are coming to console - witcher 2. The Dust 514 MMOFPS is being made on the ps3 NOT pc (tho i assume a pc version will be made) probably due to the bigger number of gamers.

This is not to say that pc gaming is dead - it will always be a choice of some gamers and will always be around but will generally be in last place for gamer numbers.

Hard to argue with the man, for games like Rage is a far bigger market, as it is aiming mainly at the 15-25 action gamers (with the old sentimental old school id fans) which are mostly on PS360.

That is not to say that the PC isn't a valid target for many types of games, SEGA are console focused company yet the PC only developer Creative Assembly are "outperforming their business plans from a profitability perspective. These guys are on top of the game, it’s a real testimony to the games they make." and “It’s interesting: Creative Assembly are seen as the jewel in the crown of SEGA". Portal 2 sold best on PC, Riot Games makers of League of Legends (only that one game) were considered worth $400 million and League of legends has been growing since with over 15 million registered players, with 3.6 million monthly active users and over 1.4 million playing daily. Minecraft has sold well over 4 million copies before it even launches, Super Meat Boy sold better on PC despite launching a month late, Paradox interactive who trade in PC exclusive niche titles are going from streang to strength with profits up YoY for the last 4, The witcher 2 has sold over 1 million copies despite being a demanding hardcore RPG, and many more.

And then there are the MMOs and the strength of the free to play PC dominated Asian markets which are the fastest growing in the world. Where even developers like Crytech are turning towards with the stupid sounding WARFACE.

PC gaming is not dieing just changing and where PC goes console often follows, as has happened with FPSs, digital downloads, expansion content, patches, online multiplayer, social/casual games aimed at non gamers etc soon consoles will follow with MMOs and free to play (Sony already are).