Yeah, they were apparently going to release it episodically. I think I remember hearing somewhere that you'd need a copy of Legend to play it anyway.
WTF. Weren't they releasing this as a lame Xbox Live Arcade title or something?
Time to trade in the pitiful PS2 copy.
This way might end up being cheaper for those that own Legend, but I'd rather not wait and own a physical copy of it anyway.
As for graphics, as someone mentioned earlier, it'll likely look closer to the PC version of the game. It's not cutting-edge, but it's certainly pretty enough. Those of you that have GameTap should try it out there first.