I got my first videogame when I was 3 years and 4 months old, for Christmas. It's hard not sounding biased after declaring that, but I really believe that videogames aren't all that bad, or good, by themselves. When we talk about damaging and addicting kids, I believe what we really have to look is wat surrounds gaming in the kid's life: how does he interact with family and friends, what are his choices of activities, and what is the content of those activities- just as in games. I won't question that there are many games unsuitable for kids, just as there are movies and books and CONVERSATIONS unsuitable as well. A father who only comes home to drink and watch the Superbowl doesn't really teach his kids that there are better things to do in life.
As for good things, I don't think you'll get better reflexes or hand-eye coordination by gaming. Playing games increases one's ability to ... well, play games. Beeing exposed to that so early and myself being so bad at sports make me think so. But I don't blame gaming for that, I blame my own lack of interest in soccer for that. I certainly did learn a few things, tough, about logic, physics, maybe even mechanics (and a little history, from Civ and others, maybe), but that's all.
Great article, BTW.