I have to say, it certainly blurs the bejeezus out of textures. I can't really tell if I like it or not. That coupled with the fact that my framerate absolutely tanks with it enabled vs FXAA and I simply don't know if I can use it or not. I'll be trying it with two 670 ftw's in SLI once my bridge gets here. Maybe I can live with it then lol.
 
Here are some screenshots I took to compare the difference AA mods in TSW. I also tried out SSAO via the injector, however I had a shimmering effect on a lot of things and decided I'd rather not use it. It did look nice though! All of these were with max settings/tesselation on except for motion blur, can't stand motion blur! Also, the TXAA 2x screenshot seems to not be affected by the SSAO, but I believe it's because I didn't give the game engine enough time to completely redo itself (as it seems to do when changing between modes)
 
No AA

 
FXAA

 
FXAA HQ

 
TXAA 2x

 
TXAA 4x

Oh, there's a remarkable difference. You can probably see it better if you right click the image and open it, then do the same for another. Like, compare FXAA HQ to TXAA 4x. Also be sure to click to view the fullsize if you need to on your monitor so that you're not looking at a "shrunk" version of the screenshot. You can also see in the screenshot the hit I take to my framerate.  
 
One thing that I will say I really love about it is the fact that it seems to make environmental elements like fog much much better (way more atmospheric to me) I'm not sure if it's just because of how it reworks the textures and effects are applied or what, but running through a zone, I really like it. However, because of the incredible blur that you can clearly see, it's like a 50/50 thing for me :(

TXAA really does smooth out the world jaggies quite well, but man does it make the characters appear blurry.  Almost looks like when the game decides to blur everything just a little bit at random intervals.

Way to much blur. FXAA and TXAA is a bust blur wise. What else is left down the pipeline that does not cause blur?

I don't see the blur all of you are talking about, but I see it blending the shades a lot better.  There's less jagged-edges, and there's more darker textures that blend in nicely.  Take a look at key spots like the toon's shirt, or his forehead, his hair, the shop entrance on the right, the increase dark shades of haze or mist on the left side of the image where that building is in the far back, the darker shades of the bricks on the build to the right near that billboard, the billboard has some darker shades along that square-trim...
 
It's a really nice improvement...