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I don't know why people are arguing about gen, even when op said its a 8gen console, but with specs only as good as a 7gen console or slight above.
So yes for nintendo its a 8gen console. I think its hardware is faster then the ps360, but dont know for how much.

Can it keep up with other 8gen consoles ? only god/ms/sony knows that for now. But if we see the same jump as last gen it wont. But if the jump is not as big it has a chance to get many ps4/720 ports.

So the 8gen nintendo wont blow our minds (grapics wise) compared to the 7gen like the ps360 did with the 6gen.
But it might be enough for many people to be happy ... hd zelda im coming ;)