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"That's not an educated guess. That's an assumption based on developers not trying enough."

LOL, that's the reality at the moment. I am not saying anything about the theoretical limitations. But I get a pretty accurate impression of the actual reality. And this is the important thing, isn't it?

"they had to redo the ENTIRE engine to fit around the PS2. "
"You think I'm referring to the Wii version? That's what your comment seems to imply? If so, try looking at the sentence after the one you quoted. "

Ah I misunderstood you, on the other hand the "engine" is not the most important part anymore. Yes the PS2 architecture was very different to the Gamecube (although this is hardly a big downgrade). At least as important today are artwork (textures), models (polygon nets), shaders etc. And you have to do them completely new for PS2/Wii compared to 360/PS3. I am pretty sure, that most multiplatform 360/PS3 games use the same polygon nets for both versions.
For Wii / 360 you essentially have to make two games.