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There is a new trend in MMORPG design towards more stylized and cartoony graphics. With Everquest Next and Wildstar, and to some extent also Guild Wars 2, several big titles have taken this route. Furthermore WoW was very successful with its art style for many years. ESO is somewhat swimming against the tide with its more realistic and grittier graphics.
There are many arguments that speak for stylized cartoony graphics especially these:
What do you think, would you like ESO to adopt this new art style too?