This is a sign of change, because the industry is growing. The more people playing video games, the more "mainstream" the industry becomes. So you can expect a higher percentage of games to cater to so-called lowest common denominators. While I don't like that, it isn't necessarily a bad thing or a sign of impending market failure. With the advent of Kickstarter and widespread indie development per se, the spirit of that golden age you mentioned is, I think, still alive and well. Some of the most fun I've had in years has been just recently with the old-school dungeon crawler Legend of Grimrock. It will never be a Call of Duty, obviously, but the market for less flash and more substance isn't going anywhere, particularly on PC.
I agree with your general assessment of things -- I'm highly skeptical of the upcoming console generation and deplore the nickel-and-dime DLC business model -- but I'm optimistic (greater economic concerns notwithstanding) about the game industry in general. As someone else mentioned, the tools for producing quality content are very accessible nowadays.