The arcade version is said to run on 480p also, this should look identical really. Most Wii games have AA I think, the jagged edges are due to being played on larger screens which basicaly stretches the image making them more evident. Try playing some very early PS2 games to see what games look like when AA is really not present, it isn't pretty. The lack of AA was one of the reasons the Dreamcast had far more visualy beautiful games in the beginning, until developers learned to use it on the PS2 (I think the DC's GPU handled AA automaticaly, while games had to be programed to do so for the PS2).
There's nothing that defines the performance of cel shaded versus non cel shaded. Mario Galaxy is cartoony but without cel shading and looks fantastic on the Wii. Jet Set Radio on the Dreamcast looked fantastic also, but the visuals on the Xbox sequel are arguably far better, at least on the technical side (I tend to prefer the overall aesthetic result of the original) and it wouldn't be possible on the Dreamcast even though it's cel shaded. Even Unreal Tournament 3 could be cel shaded and it wouldn't make it possible to run on the Wii.
It's just people think it's easier to make low end visuals look better via cel shading, which I think isn't true. It still takes a lot of skill and artistic expertise to get a good result, cel shading might just be a crude black outline over sub par, flat, with few colors models, or an incredible visual experience as seen in Wind Waker where everything is of consistent style (and there's a LOT of that, style) and quality. Shadow of the Colossus on the PS2 on the other hand is also incredible without the use of cel shading, just expert use of art and craft, in a different way.
A team who makes a crappy looking "realistic" game on the Wii, would have also likely made a crappy cel shaded game on the Wii. Look at the difference between Resident Evil 4 on the cube (or Wii) and Dead Rising on the Wii. I think it's obvious what game they paid more attention to making look solid and consistent in every aspect and what game is a mere port with the least possible resources spent (even with the conversion to the RE4 engine). You get a VERY different quality result when you create a texture with a specific limit in mind and when you try to quickly downscale a much larger texture, thus ending up with an undetailed blurry mess like in the Dead Rising zombies.
Just trying to say, performance and visual quality has little to do with the choice of using cel shading or not so this game won't be able to run on the Wii just because it's cel shaded, it's able to run because it's made to spec for it from the start, and it looks beautiful thanks to good use of the hardware and the great art.
And yes, this game is gorgeous. I actually prefer it to Street Fighter 4's look by far. Street Fighter 4 could have looked amazing also with those ink effects (I'm NOT speaking of the intro, but of gameplay, as seen in parts of this video) but from the latest trailers and images it looks like they're only left in for some special moves and other such special conditions. I could be wrong, I actually HOPE I'm wrong and it's some setting you can enable and disable at will, because then SF4 would be on par with this game in visuals (I don't think they compare in gameplay, I love both styles) and it deserves that really.
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