When a problem is pointed out, the solution is not to point smugly at another problem. That is never the solution.
More people in the world need to realize this.
Re: "They're just conforming to what they believe their target audience wants."
This is true, but it doesn't excuse it. Not for the portrayal of women, nor the portrayal of men. Reasons:
1) These sorts of stereotypes are self-perpetuating. If men are indoctrinated that they want to have booblicious women in their game, they're probably going to want to have booblicious women in their game. Humans are conformist creatures. It's a cycle that needs to be broken, not excused.
2) Stereotypes, being stereotypes, are non-indicative of any individual person. They are trends at best, outright fiction at worst, and definitely not facts. I'd find a women in a suit of practical full plate far more attractive than one in a "breast" plate for example, so telling me they know what I want based on my gender is laughable, and the same can be said of any person.
3) Point #1 isn't all-powerful. If big media creators make what they think the majority wants all the time, than significant numbers of people are going to be left out. It's better for everyone involved if the big media creators branch out and stop trying to follow trends and stereotypes; they innovate, leading to the chance of getting the "next big thing," while the minorities in their target audience are occasionally catered to.
There is one reason why game developers stick to the comfortable idea of catering to stereotypical men (besides having their heads stuck up their ass), though. Video games are ridiculously huge investments. This is an enormous problem, as investors are going to want to play it safe. They will demand that the game stick to well established methods that work, and that includes scantily clad elves and muscle bound men that daringly save them. The only big name companies that consistently try to innovate (valve, blizzard, etc) are ones with good track records. No one else is willing to take the risk... well except in indie gaming, which is mostly ignored outside of the gamer crowd.