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snowdog said:
It'll be pointless bringing UE4 to the PS3 and 360 because the GPUs don't have a modern enough feature set, RSX and Xenos have DX9-equivalent feature sets. Latte has a DX11-equivalent feature set, same as Liverpool and the One's GPU, so it WILL take advantage of 'next gen' features such as tessellation.

Once the Wii U's sales explode due to either a price cut and/or the releases of 3D Mario and Mario Kart 8 before Christmas you'll see publishers requesting Wii U support for UE4 because they'll want to take advantage of the extra horsepower than the Wii U has over the previous gen consoles. UE3 won't cut it.

You'll also see developers porting between the Wii U/PS4/One rather than the Wii U/PS3/360 due to all 3 current gen consoles having a similar architecture. It will make no sense for developers to port from the PS4 or One using UE4 to the Wii U using UE3, and would be a nightmare to port between the PS3/360 using UE3 to the Wii U using UE3. We've already started to see developers using the PC as the lead platform and porting to the Wii U/PS4/One and having the PS3 and 360 SKUs developed independently with Watch Dogs.

People seem to be judging a console's power on launch titles, people do it every generation. Remember the flak that the 360 got at launch..? It wasn't until Gears of War was released that people began to realise that it was a step up from the PS2. The same thing is going to happen when 3D Mario is released and we see what Retro have been working on. The Wii U is a 'next gen' machine with a GPU that can handle 'next gen' games, just with less bells and whistles compared to the PS4 and One. You'll see this at E3, although I guarantee you that plenty of people will be in denial even after seeing it with their own eyes. Remember the 2011 E3 'sizzle reel'..? lol

Just because a GPU supports DX11 doesn't mean it can run things like tesselation. Processing power wise there's simply a huge difference between the Wii U and the ps4, and I am not even sure the ps4 can do full screen tesselation. The UET4 techdemo was already toned down a little compared to the pc version that was running on a GTX680. 

You're right though that launch games usually don't show the full potential of a new console, but you should at least see something that wasn't possible before. Killzone 4 is also just a launch game and there is just no way in hell that could run on a ps3. On the wii U, however, there is nothing out that can't be done on the ps3/ 360 though. I am also willing to bet that 3D MArio won't look better then something like the Last of Us.