If they keep targeting the "Niche" market they will go broke. I fly the dcs world with my warthog. When i want hardcore simulation i go to a simulation game.
Actually, I would suggest that if they DON'T keep targeting the Niche market they will go broke. SC is not the only other space game on the horizon, and several of the big names in the gaming industry are supposedly looking into or actively working on space games. I don't believe that FD can compete directly with big name, big budget productions in the mainstream arena. However, by sticking to a Niche market (well more like a group of niche markets) but still making a game not too far off the mainstream, FD will bypass the competition and stay in business.
There are other games targeted at the same "niche" markets, but they are small indie titles, without the budget, quality or production values of Elite.