Games are, and won't be a "consumer luxury good", as the article states, unless we're getting into bespoke CAVE systems or Westworld-like theme parks. Consoles have achieved that point of ubiquity that they're a common household appliance, and it isn't unusual to see one. A "normal" good in other words.
The games themselves are content from a production culture standpoint, which is why we so little innovation (and lots of duplication) within the market. EGP coming out of the pipeline.
There is a salient point about the capture of leisure time, but it was written 40 years ago. Seeing as it ties into the Facebook ad policy reveal of a month ago, maybe it's worth bringing up in it's own thread.