What it actually means is, is it shows there's a reason to throw a gigantic amount of money at a niche activity and not be held accountable for doing it. Which they pretty much were doing consistently before LFR. LFR exists because they did that and didn't want to stop doing that when questioned how they spend their production budgets.
I mean, logically speaking, it really makes no sense to spend most of your production budget on content so few do. But they still did it. I don't understand how that can be defended in any sort of way that doesn't come off as dickishly noting that people will pay for the game anyways so you might as well exploit it and not give them anything. (Which, again, was what they were doing before LFR.)