No, the analogy does not hold. All free male citizens of Athens participated in Athenean democracy of ancient times, which achieved serious successes. All citizens of Switzerland participate in the direct democracy, and Switzerland is in a pretty good shape.
The "small web" is a different phenomenon. When accessing the Web was cumbersome and unglamorous, that served as a filter for motivated and skillful people. Those who care, those who are inclined to create so strongly that they would overcome all these hurdles for it. Similar dynamics exist among open source software contributors.
Once the internet became a zero-effort communication channel, it started to attract people who just want some quick dopamine fix, but who have a lot of other, more important things to mind. That is, the majority, the regular people. These are not bad people! They just don't focus on the internet, or art, or whimsical texts and projects.
This is just literally normal, in the statistical sense. There's an old saying about not blaming a mirror for the image it shows.