As the years go by, graphic rendering has been evolving massively. It's sometimes quite difficult telling the different between CGI and real life in films because it's so well done.
Taking graphic rendering to gaming is a different ball game because it's a lot more complex and to render them in real time takes a lot of processing power. Activision though are showing off what next gen graphics could look like with this very realistic real-time rendering of a persons face. It's amazing but creepy too.
These may be the kind of graphics we'll see in the PS4 or XBOX 720.