I finally got around to watching this, and have come to the conclusion that Fox does harm to three groups, but benefits one niche in the process.
1) It hurts liberals, in that it ineptly lambasts the flaws of the left by setting up ridiculous straw men and trying to pummel them without regard for logic or objectivity.
2) It harms conservatives, since what could be a channel for discourse about the real roots and implications of conservatism is instead turned into a forum for paranoia, stereotypes and preconceived ideas.
3) It’s bad for anyone trying to get real news, as many are hoodwinked into thinking Fox is an actual network, and not just a bunch of neoconservative soapbox pundits who’ve confused Smith, Hayek, Locke and Schumpeter with the “Men Seeking Women” pages of National Review.
The good news is that drivel like this is good for the Daily Show, so, in a sense, we all win. Especially Comedy Central.