The way I see it, he justifies and accepts emulation. All he has done is deviate attention to other topics unrelated to the topic because he can't justify his argument without involving some other topic (Library of Congress?).
The problem he has with this particular game is, if MAME documents it and Gatinho dumps it, it will be well known and widespread around Internet that like some other modern games running on x86 architectures (not yet identified by MAME) there's not need of emulation at all.
It's not hard to get hacked Taito Type X dumps, but unlike MAME ROMs and CHDs it's a little difficult to do so when users don't know the proper channels. I have yet to test one, but judging by screenshots it looks like those games work and install as any regular Windows game (Windows Installer and all). His concern is this dump could meet the same fate once dump availability and protection schemes get known and documented into MAME. It doesn't matter to him if the manufacturer is out of business or not.