Considering FFXI is over 10 years old, of course it looks better. In fact, this game is up to par with the majority of MMO's out there, and it'll be at the top or next to it once it gets DirectX 11 support and the PS4 release (they also said at this point they will release much higher resolution textures; and you'll get much better shaders like better animation blending, as well as material shaders like better water and lighting effects).
However, as someone who has played a lot of MMO's I am finding that so far FFXIV has a lot more depth (especially initially) and a lot more attention to detail in its world.