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I would say Gears of War 1 was a big step foward in terms of gameplay, graphics etc the story was lacking but I think it was the most innovative.
Might be a stupid answer but SuperMario Galaxy was pretty incredible also with graphics that pushed the Wii and some truly amazing gameplay and innovative stages, that game was awsome.



My favorite games for this gen:

1. Gears of War    2. MGS4    3. Killzone 2   4. Halo 3(Underated by many)      5. Mass Effect