Huh. I recently blogged [http://seventhcirclegaming.com/2009/12/11/video-games-art/] about this. The guy saying that video games are FLASHING LIGHTS LOL NO ART is completely wrong. You could say the same about film, or that paintings are DYE ON CANVAS LOLL!!
My argument was that video games belong in a few categories, not just one. There are the competitive, skill over mind games such as Call of Duty and Battlefield, and then there are the arty games like Bioshock or Fallout 3 that actually have a point to them besides GO KILL. In Bioshock it's Ayn Rand, in Fallout 3 it's about the devastation of Nuclear Warfare. Or take Portal, which humourously gives us a feeling of being trapped.
There's nothing wrong with the games that aren't artistic. Hell, we need them to balance out the ones that are. In fact, I'd say most games are either not artistic at all or slightly artistic, merely because if they are all the way artistic, they most likely aren't fun to play. Some games manage to balance it. Some games don't. Some games choose not to and go straight for the fun-factor. None of these are wrong, as long as they have an audience willing to play (or experience in some cases) them.