If it's the engine, then the problem is the Wii's low development costs, not the horsepower. Wii development doesn't cost a lot, even with a custom engine, so Epic would not be hailed as a digital Prometheus for a Wii engine.
That is, unless they came up with an engine that made a game control nearly perfectly, no matter how a developer used the Wiimote. Since it's controls, and not the graphics, that are the need for developers, that is where Epic could gain a lot of money.
A flashy-first game is awesome when it comes out. A great-first game is awesome forever.
Plus, just for the hell of it: Kelly Brook at the 2008 BAFTAs








