I don't think there's anything hypocritical here. Nintendo's "blue ocean" efforts have been stereotyped by bitter gamers as Nintendo pandering to icky non-gamers with icky non-games.
But compared to a lot of fare on mobile, Nintendo's expanded audience games are masterpieces. They didn't generally make crap games; even Wii Sports is an excellent arcade sports title that can be played "hardcore". Something Nintendo has been consistent about is the idea of bridge games. People who didn't think games were for them could get into stuff like Mario Kart and keep on moving upward. Nintendo's Wii stuff was never truly about pandering only to people who would just play Angry Birds and then never touch another gamelike application again.
What is interesting though, is the usually closed-faced Miyamoto being so blunt about his dissatisfaction with their efforts. I wonder at the translation of "pathetic" but there doesn't seem to be many ways to spin this.
I'm glad Miyamoto feels this way. Casual gamers can stick to mobile games, console gaming has always been for people looking for a more rich gaming experience.
Now I wanna see it in practice though. Games like MK8 still feel heavily catered to casual gamers.
Mario Kart is pretty much the definition of an all-ages, all-demographics game. Those are the kinds of games Nintendo is great at making. A lot of people seem to confuse those for "casual" games.