Likewise Final Fantasy VII's graphics at the time were revolutionary but now...
Anyway, to answer the question I'd say Retro but only really as far as the Sega Mega Drive and PS1. I replayed FFVIII recently and loved it. To be fair I'm slightly biased as I grew up on these games and haven't really experienced any next gen, but from looking at PS2 the general trend is that games are declining in quality except for the occasional anomaly like Halo or Guitar Hero etc.