Models are blurry, I think the mouths bother me the most. The characters do not look as animated/lifelike as Xenosaga did 5 years ago.

http://www.youtube.com/watch?v=cYEkTXL691Y

You guys are crazy. Are you expecting character models and animations that belong on the HD systems in this game? It's already got a scale that very few games on any system can match. The art style of the world looks amazing, even if the moving parts simply look decent for a Wii game. This looks like it could be exactly the kind of game JRPGs need right now -- something beautiful and original that captures peoples' imaginations. Something unexpected. Thank god Nintendo have stepped up and decided to start supporting the development of new console RPGs, since no one else is!

Looks great to me!

I want to hear the music but Japanese people keep talking over it.

Looks like a normal JRPG though. I was hoping for something less story-heavy.

My plan is to buy this if the soundtrack lives up to the main theme's standard.

  Xenosaga is on PS2, not an HD console. This is a game from Nintendo, from a critically acclaimed development team who has done better on lesser hardware.

graphics are not everything in an RPG, I value story over graphics in an RPG, Xenoblade looks very interesting can't wait to see the English version lol

The only problem I had with the trailer (besides its not showing gameplay) is that it was in Japanese so I couldn't understand what they were saying .
Honestly, I have severe issues even with HD character models - the more something tries to look lifelike the more glaring it is that it is not - so I always don't look closely at the character models, and these here (when not looking closely) look as fine to me as any character models. I thought everything in the trailer looked good to great.

Character models worse than Final Fantasy XII on PS2. Wow. But backgrounds are ok. Is the composer Yasunori Mitsuda?

I wish :(

I wasn't comparing to PS2, because I hate it when people do that.  But really, has Nintendo made party-based RPGs with a huge cast of characters and epic evironmental scale on the Wii?   Expecting Mario Galaxy or Zelda level quality to the graphics really isn't fair to the developers of Xenoblade.

Personally, I think it looks better than both those games, but I prefer the interesting fantasy art style.  I can see that the character models aren't nearly as good, though.  Might have something to do with the fact that they have to animate hordes onscreen in huge battle scenes.  To me the character models have a slightly retro, almost Suikoden or Skies of Arcadia-ish charm.  And there definitely seems to be good variety in the character designs, which is one thing that matters most in large scale RPGs.

Really want to see gameplay now!

Landscapes are nice indeed, looks like pretty big scaled game, thought it might come at the expense of character models. What about gameplay? Any hints besides action-based battles? It's supposed to be a sandbox or what? Why such big landscapes then if not? The story part I really don't care, in fact, I usually become very cautious when story is being promoted as main selling point of the game, especially if it's a jRPG.