The idea is that you'll be able to target the browser, and native desktop platforms. It will all be javascript based.

From the questions part of the video it appears that all the code that it generates is javascript and html.

Sort of. Cappuccino and Atlas run in normal web browsers, no browser plugins, using JavaScript to build up and manipulate the DOM. But there is almost no HTML (or CSS) involved, and Atlas does not generate much code at all.

The interface files that Atlas creates are essentially freeze-dried archives of the interface objects. IMHO this is a better solution than code generators.