"Our competitors have detailed the power of their core processor and display. But the advantages of our technology will also have no bearing on gameplay. I know, this is one of those mysterious comments," he (Iwata) says. - Source:
IGN GameCubeI think this quote, though in somewhat poor English, demonstrates that Nintendo will keep up with the competition in terms of visuals. Iwata notes that the competition has detailed their processor power and related it to display... by saying that Nintendo's technological advantages will have no bearing on gameplay, he must be saying they will benefit Revolution's visuals. Or mayhaps I'm just completely off.
(Edit: Typo)