Looked at some intersting vids on the Autodesk site pointed out by Russell. When I first looked at the new Maya it didnt seem to be this nifty - perhaps it is just getting this far...
some more nifty stuff curtesy of the Russ:
http://www.youtube.com/v/KfhhPp3uDHM (a UT2007 one I think)
http://www.alanwake.com/movies.html (Alan Wake)
Blimey, Alan Wake looks awesome - not just the static environment, but layered atop that the cinematics, weather, effects and physics look like elevating the emersion up another notch.
[06 screenshot from the Alan Wake site]
super nifty stuff!
DX10 demo stuff also quite amazing - the nice volumetric lighting and water effects - sweeet.
[journeytime = 1.5 hours]