I think whether it's a good thing depends on whether the important thing is to have access to some better art, or to have shared access to art, even if it's slightly less good.
In other words, art as a shared cultural discussion, vs art as individual consumption. I believe that even the best of art (from a technical standpoint) losses artistic power if it's just consumed by fewer people -- and I mean that it loses it even for those people that do consume it (e.g. they don't get additional layers of meaning/feelings etc by being exposed to the interpretations of the same piece by people and other artists).
Niche art in popular art forms, such as cult films and cult TV shows, easily reach tens of millions (eg Firefly). It's still totally niche compared to Star Wars, but I'm not sure that you can say in any way whatsoever that it loses power because "only" tens millions of people worldwide have seen it.
There are Pitchfork "Top albums of the year" than less than 5000 people ever listened to.
And it feels at best the current gen, ours, is only apply filter (no jab at instagram et al) to enhance old resolutions artificially.
The time were channels were limited, where access to production too, the constraints, the potential rigging all this, seems to me now that it had a strong effect on society.
When there was a limited choice, we wouldn't feed our desires directly, production couldn't be extremely tailored, they had to be reaching a broader audience to exist, while having a IT factor. And then people would discuss these things they shared because nothing else was there, and it made it resonnate.
Nowadays, we have all a thing that suits us more, people can produce at lower (artistic and infrastructure) cost. But now productions have less chances to become culturally as relevant as before.
It's just one impression that I have on the status of TV from the 80s and 90s.