The Wii was never about graphics quality...
... it was always about game play. You can't compare the Wii with the Gamecube, X-Box or any other gaming system at the moment as none of the others have the same interactive content.
Sure, the graphics on the Wii are five to ten years out of date but no other console can get four people actively playing at the same time. Indeed most consoles/console games are one-on-one, you versus the machine. Sure you can connect to the Internet and play online, but you are still sitting on a chair in your bedroom, staring at a screen, getting calluses on your thumbs and your bum.
The Wii does at least offer you the chance of some active movement. No, it's not callisthenics but it could get you to shift your body around and get more physical exercise than you get with a PS3.
As for the advert... EA Games were wrong, no doubt about it.