I think an xbox comparison is more fitting, The dreamcast wasn't half step in graphics from the previous generation and lauched at a very affordable price, so i assume it wasn't cutting edge at time of release. The Wii CPU is clocked at a slightly higher rate then the xbox but the xbox has bult in shaders, which can produce better looking games but both systems are very similar. You have to remember that the advances in graphics were much greater between 1999-2006, then they've been for the last 6 years.
But its still soo affordable to produce a system which surpases the ps3 that Wii U will definitely be graphics king when compared to the 2 HD consoles. The only exception is if they wanted to enter the market at $250 but i think a $299-$349 is more likely.
