Language evolves. What he described refers to a specific pattern relating to specific platforms, but it also speaks to an overarching pattern that can be applied to most tech and digital markets nowadays.
User entrenchment and the rise of oversized tech companies dominating the industry on multiple fronts has brought us to a tech space where companies no longer need to fear backlash or consequences for most anti-user decisions they could make, as users will simply never leave, and competition is sparse. The "Free Market" is effectively neutered because users will complain but not change their behavior if the cost for doing so means moderately less convenience.
Enshitification, to me, is when a tech company realizes this and takes advantage of it by eroding what made the thing worthwhile, knowing full well they can disregard all criticism and complaints.
It basically speaks to a moment when tech companies shift from thinking "how do we attract users?" to "What can we get away with?"