Yes he did say that but he wasn't talking about the Tab in that case.
The non Tab tablets will be cheaper, yes they will have lesser hardware but this is why they are cheap. This is like VW slagging off Skoda for using "cheap components".
On the PC comparison - you do have similar issues, e.g trying to run a 3D game on a netbook.
He also said that makers of such tablets should include sandpaper in the box so that users could sand down their fingers to the right size to be able to use the apps on such a small screen. (not in my article)
Yet we all seem to be doing fine with our smartphones.
I think Jobs is angry at the existence of competition who can meet a range of markets he can't.