That's an article in the Independent (UK) online edition. It's kind of the"state of the gay in Hollywood" article that we get at least once a year, but good.
I thought Kittens might find especially worthwhile the quotes from Donna Deitch, who made Desert Hearts, and smoothly (but a bit self-aggrandizingly) gets at least part of The Cliche in print.
"...In 1986, when I made Desert Hearts, you couldn't get any actors of any consequence or familiarity to even consider the role of a gay character. It wasn't going to happen. Now, if you are offering a gay part, and it's a good part, people are going to jump at it. That's what's changed."
The appeal extends to female gay parts as well as male ones: Hillary Swank won an Oscar for her role as a transgendered teenager in Boys Don't Cry, and Charlize Theron came close to winning another one when she played the real-life lesbian serial killer Aileen Wuornos in Monster (2003). The one difference, Deitch pointed out sardonically, is that lesbian characters almost invariably end up either in a bisexual love triangle or dead. "Only in Desert Hearts," she said, "do they live happily ever after."
Well, not only in Desert Hearts (you see what I mean about self-aggrandizing?) but I think the larger point was better made.

I'm actually not as bothered by his use of the term in order to deny using it (although it was certainly less than tactful) as I am by the fact that he used it in the first place during that fight on the set. Nice to see the issue in the spotlight, and I'm glad there is a brouhaha at all over it. I wish there were more of a brouhaha when people use the word "gay" to mean "lame" or "stupid," though. That one offends the hell out of me.