Can graphics keep evolving? How? For how long?

[Alex_The_Hedgehog]

I made a new friend at my job, and he's also a gamer. Yesterday we were enjoying some free time, talking about our gaming life. We ended up talking about how graphics evolved since the early video game days.

Then, at some point, he said: "Bro, I think Unreal Engine 5 is probably the peak for graphics. I mean, it can't get much better than that. Gaming will probably evole on gameplay and more realistic mechanics, but I think the visuals are very close to the limit"

I told him that at PS3/360 days we had the same feeling. He agreed, but also stated that the graphics at PS5/XSX are realistic enough so it doesn't actually need to evolve more than that.

Do you agree with him?