He's a professor who has spent his entire career at one low-ranked institution. If he has a reason for being down on his own employer, where he's tenured, I'm not sure what it could be...

(Also, he didn't state this as a negative or a positive. Just as a fact. "Different institutions serve different clientelle". You don't have to be a hotel snob to say that the Holiday Inn you manage isn't as nice as the Ritz, or a elitist that the youth swim team you coach has nothing on the US olympic program... some people -- particularly educators -- aren't obsessed with being "the best".)

The key concept here is that there are some truly no-name schools out there. Many of them in fact.

This is entirely compatible with the idea that top tier schools are overselling the quality of their students.