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Costs for AAA games will go up. Forgot about Epics statement: Next Gen Dev.Costs will "only" double. (http://www.gamespot.com/articles/epic-next-gen-dev-costs-to-double/1100-6400014/)
Advanced graphics need better (more deteiled) textures, more objects and more detailed effects. The more is happening on screen, the more details there are, there more needs to be animated. It is not like a grafic engine will give these things for free.

There is a reason why the very few still profit making publishers like Activision concentrate on only a handful of AAA projects to sell million of copies.