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I doubt many devs even bother making their games look much better than 360/PS3 games.

Most Wii U games will look like that.

Nintendo never replaced studios like Factor 5 and Rare that actually gave a crap about pushing hardware and third parties don't give a crap about Nintendo either.

The PS4/XBox 720 will blow this system away if you're talking graphics and the higher end third party games, I don't see much difference from the last gen. You're going to have to buy a 720/PS4 to play those kinds of games or a high end PC.

I think Nintendo would be better off scooping up as much Japanese exclusive support as they can. I don't think a lot of Japanese devs are ready for the next-gen console budgets so Wii U might be a safe haven for them.