[citation][nom]idisarmu[/nom]Maybe it'll appear similar in quality to the PS3/360 on 2 HVGA screens, but wait till you blow that up to 720p. Yuck! It would be muddy, jagged, and gross.[/citation]
Something like this. Could it not be similar to the way consoles do it? Lots of games render in low quality, then upscale and gussy it up. Do you really think the 3DS screen is going to be that big? It could be rendering it in 320x280 or somesuch, which would be easy as pie, then upscale, top with some AA, and good to go.
Plus, considering the insane amounts of revenue that Nintendo has made off of the Wii, I'm sure they've been able to fund some decent R&D. As powerful as the PS3/Xbox 360? Overall, yeah, probably not. However, could you maybe get similar graphics? I think it seems possible.