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What a load of crap.
Delphi is used for MAJOR projects all the time, you probaly use software created by Delphi right now and don't know it.
Homesite from macromedia is one, Epop(www.wiredred.com),
Lightning Messenger(http://www.amsoftwaredesign.com)
All the EMS tools (www.ems-hightech.com)
it boggles the mind the amount of really big projects that use
Delphi.
There is also work being done on a Free Pascal plugin that will
compile Delphi code from the Delphi IDE.
Lazarus is nice, but it needs tons more work to be used for production.