I don't think those two facts are particularly related. I'm a hardcore gamer but I wouldn't buy a console if it didn't have interesting entertainment features (and great game line-up) or I'd just stick to PC. The growth of Steam and popularity of game emulation (which I'd wager is higher than ever) probably show that the hardcore market isn't going anywhere. You could probably compile Humble Bundle data too.

Again, I don't have hard data, but the situation doesn't seem as bad as some may think.