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Hahaha, sounds like you guys have no idea who John Carmack is. He is very close to Microsoft and was even consulted by Microsoft on various issues with the original Xbox.

The people quoting him out of context (Sony fanboys) are idiots. He is not saying that it will have poorer graphics PERIOD. He's saying that if concessions aren't made (i.e. the royalties on the third disc dropped) then he will have to lower the quality to fit it onto two discs.

THIS WILL NEVER EVER HAPPEN. He's just using this as an opportunity to maneuver himself so as to back Microsoft into a corner and basically waive the extra royalties.

Microsoft will either budge or force him to use better compression, but I can guarantee you that the quality will not be dropped. Not by the man who loves Microsoft.