I think his point was that apple would invariably end up serving a niche audience. Referring to two other examples of niche programming only reinforces that assertion.

Sure you could fill a whole service with programs for a wide variety of niche audiences, but I don’t think it would be very profitable as none of the individual shows will ever attract the kind of audience a show that is not constrained by these kinds of broad-stroke programming choices could attract.

His point clearly wasn't just "it's targeting niches" but "it's a niche like Hallmark". You however might have a point, but as long as it's sometime I'm into, great.