To be honest, I found this episode a bit lacking. It was a nice parody, yes, but there was no punch-line, no argument to be made... it's just the same mindless shit the whole internet seems to churn out whenever David Cage shows his face somewhere. To sum it up, the hyprocrisy in this entire topic starts to get boring.
David Cage's games are not the greatest thing since sliced bread, but they're not bad, either. You may not like them, but objectively, they work pretty well and many people enjoyed them. All he said in the PS4 event was that better technology means less limitations for artists, which is true.
Did he say every game character had to look like that demo? No.
Did he say that that was the only way to get emotion across? No.
Those are statements "hardcore" gamers put in his mouth because they don't enjoy his games and for some reason it's currently cool to bash him... but we all know they'll drool over some screenshots of a fancy next-gen game, too.