My personal view is that while movies and movie games have many things in common, video games should never aspire to be movies.
I wanna play video games, I don't want to watch them. A well thought out story with interesting deep characters does bring an added quality to a video game but I don't think it should be what developers should strive for first and foremost.
Couldn't have said it better.
Video games are a special medium. Unlike movies, books, painting, and sculpture, where the artists' vision is presented in a "take it or leave it" way, in video games the partnership between the game author and the game player produces the magic. It's a unique relationship that sets video games apart. Video games can learn a lot from movies and other art forms, but they should always embrace what makes them unique first and foremost.
Moreover, if video games must emulate movies, they certainly shouldn't emulate modern Hollywood blockbusters -- which mostly cater to the lowest common denominator.