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The latest generation change did have a huge graphical improvement, just as previous ones did. Just look at the difference between PS1 and PS2.
I guess what i'm trying to say is that if, in the past, games developers didn't have problems making original games with less graphical power, what's stopping them now? I, for one, am getting angry with all these cross console breed of games that come out like Turok Evolution, for example.
That's why I stick with Nintendo for orginal concepts and for redefining game genres. Lastly, graphical power means nothing if you don't have the quality games to back it up. Remember the ill-fated 3-DO?
Texturing on the Xbox far surpasses that of the Gamecube. Texturing on the Gamecube far surpasses that of the PS2.
Particle effects on the PS2 surpass those of both the Gamecube and the Xbox.
The number of polygons (detail in three dimensions) on the PS2 far surpasses that of anything on the Gamecube, and Xbox but that's just waiting on a decent game to shop it off.
And the Xbox, by farr will anihalate the opposition when it comes to picture quality as soon as someone makes a game which actually uses it's Pixel and Vertex shaders.
If anyone knows of an Xbox game which actually uses these, let me know :D
I don't think we will see much more improvement until PS3, XBox 2, or GC2.
*Wags finger at nobody in particular like gay teacher*
Not saying that I am or anything....