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Ares said:
It uses Havok, same engine as Half Life 2, Oblivion, Smash Bros Brawl, Carnival games (arg!), Medal of Honor: Heroes 2, Godfather, My Sims, Halo 3, etc...

The biggest difference is that BoomBlox is very centrated in physics, so you will notice it more, but try to make similar systems inside Oblivion (put a dead body over another and make everything fall) and you will notice that it is going to work very similar...

http://www.havok.com/content/blogcategory/29/73/

 Ares hit the nail on the head. I suppose if EA was willing to modify the engine enough to make the physics even better, then Boom Blox might have a shot at the title, especially since its obvious that they're not using the Wii's horsepower for graphics. (Note: I approve of this strategy, since the entire game is based on physics). But I doubt it'll completely blow other games out of the water.

And @ ZenfoldorVGI:

I don't think most of us here are Wii haters; we just know that developers often engage in hyperbole about their games. See: Bethesda, Lionhead, etc. I'd love to be proven wrong on this game, and I'll probably pick it up when I've got more cash (Wiiware gets dibs on my wallet), but EA has made quite a claim, and most of us are going to wait and see if they can back it up. Personally, I hope they do.