I hate to break it do you, but a huge portion of PC users DON'T play anything more intensive than Farmville on their systems - if they game at all.
Even for myself - I do play games on my PC, but only on 1 of them. I've got 5 systems (Windows desktop, Linux desktop, Linux laptop, Mac desktop, and Windows desktop at work) and ONLY my Windows desktop at home ever sees any gaming. In the other 4 I really don't care what chip is in them because Chromium, Visual Studio, Safari, etc simply don't need it.
The simple truth is that this move will lower the cost for systems with integrated graphics, and likely increase the cost of systems with dedicated graphics. That sucks for those of us that end up buying a dedicated graphics card machine, but when the majority of the market doesn't need that, then overall the decision is a good one.
Besides - integrated solutions are getting better and better all the time. I'd put it akin to sound cards and network cards. Once upon a time no motherboards included these. Then some started doing it but the components were pretty bad. I personally specifically looked for motherboards WITHOUT integrated sound when it first started showing up. These days though, most of the integrated sound cards aren't really that bad. They're good enough for all but the most hardcore users. Same with integrated networking. Most new motherboards have gigabit network chipsets that work plenty well enough for almost all users. I'm going to guess that in 5-6 years, the integrated graphics will be plenty good enough to play your average game at an acceptable level. Separate graphics cards will still be available, but they'll cost a bit more (smaller market), and they'll only be needed by those who absolutely have to play at the highest resolution with every detail slider set to max.