I'd argue that he's both right and wrong, but that he'd obviously champion as much given the state of Xbox's console success. Obviously the number of consoles you sell isn't in and of itself the primary or sole business goal, but the fact is the higher your install base of consoles sold, the bigger the pot of (relatively high spending) consumers locked into your ecosystem through which to sell software, subscriptions etc, Sony's success this gen abundantly highlights this, where in terms of revenue and profit they are far and away exceeding the competition.
Obviously the response to this will be that PC gamers and the general public via streaming, encompass a potentially much larger potential install base and demographic of consumers to sell subscriptions, games etc to, but the problem is that this particular wider demographic may not be as interested in, or as likely to spend money on services, expensive games or subscriptions, hence we're in the situation we're presently in.
Granted that could change going forward as game streaming picks up steam, but I just can't see the revenue and profit dynamic drastically changing any time soon, and fully expect consoles and the number of systems sold (eg a consoles install base) to be the primary correlating factor to coinciding software sales, subscription numbers, revenue and profit.