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Norris2k said:

We are still to see how far the current gen games will improve. Kilzone is 1080p. texture are very clean, effects everywhere, it's colorfull, there is no clipping.

Diminishing return is not a philosophical discussion, it's a fact. This generation mostly add a lot of memory that solve the problem of blurry textures and limitations  in map sizes. What can be done behond that ?

 

Go back and read my earlier comment. While the above image is true enough, it's only a part of the picture, since we're not talking about static, unlit, untextured models with no environment interaction.

We've not even started to hit any roof for deminishing returns.