Oh come on now. He was laughing as he said it, it was clearly playful and somewhat self-deprecating by mocking how mad he initially was. Also, it was less about the denial itself, more about the reason for the denial (Apple looking down on Panic's music). I was prepared for something far worse.
Yeah, I was expecting something a lot worse as well. The original version of the song was going to sound anything like that, they were better off anyway.