Judging by the wording of your post you never played one of the versions of RE4.  It looks quite a lot better on gamecube.  Gamecube is considerably more powerful than ps2, but GC never got pushed to the limit like PS2 did.  The disc space wasn't the issue, it was the extra 9 months of development time. 

Capcom just wanted some of the same people that bought the GC version to also buy the PS2 version because of the extra content.  It worked, I know people who bought it twice. 

Just saw the video - was really impressed. The detail in that environment is fantastic, no wonder it runs at 30fps - it basically looks as good as a 360/PS3 game could (in places - I don't want to start a flame war over that comment ;). In other words, an order of magnitude over that the GC could do.

...

Anyway, Im definitely sold on the game now. Was waiting for something like this since the Wii launched - and its even more impressive because its a mature title. I can see myself replaying this over and over again, trying to find all the secrets (etc). They could do some awesome additions, like "secret" areas that only open when you collect/shoot things in time (advantage over a non-rails game). Being able to "look around" as well as aim is awesome (something light-gun games can't easily do).

Also impressed to see it has been in development for over a year - and with 40 people working on it(!). If this comes out with some multiplayer support (at least in some modes?) it may well be a smash hit, and revolutionise the RE genre. 

i've never played a on-rails game before. are they fun? is there re-play value? since its on-rails are they more challenging or does that even make a difference?

Trust me, it's still VERY challenging. Before seeing a movie, me and my friends always play a round or two of Time Crisis 4. You're shooting at bad guys all around, ducking and reloading at the right times...it gets intense. I can understand why some people think this isn't a full-fledged RE game...but I think this will be fun.

Think about it, you could use an analog stick to run forward, and then shoot zombies as they come at you, but if the walking is automatic, you're focusing just on shooting, which makes it intense, and it can definitely be difficult...I've poured many quarters into arcade machines, trying to get to the end.

i hope RE:UC is very challenging, more so than RE4...not to say i didnt die multiple times.

 i see what you mean and im hoping capcom does a good job, but i have tons of faith in them.

what if that wii-gun from E3 was used for it? do you know how imersive that would be?

I sure hope they make a gun attachment like that.  It'd make the experience much more enjoyable and immersive.  Capcom works wonders...this game might not end up being the ultimate RE experience, but I'm expecting an excellent, fun game, definitely worth the money. 

You really never played on-rails, what about Starfox for N64. It's mostly on-rails, it's really fun and a bit re-play value there too.

The big difference in Umbrella is that you can still LOOK AROUND, while being guided on rails. This makes a huge difference, as it adds a real "exploration" element to the game - and you can still be attacked from behind, etc (if you didn't properly clear the zombies behind you, etc..).

Now if they could only make it, so that you can revisit rooms any number of times (i.e. have lots of choices where you want to go next, not just a few...).

This is sort of how Killer7 played, right? 

If graphics dont matter that means the PS2 version is better because it has more content. Why are Wii gamers saying Graphics matter? Oh wait, it's ok to say GameCube graphics > PS2. But PS3 graphics > Wii = not imporant.

 Sorry. Couldnt help but point this out.

Well since everyone is always trashing nintendo users about graphics, this is one they say they can do superior. Also gamecube had the original graphics so that's the comparison there. PS3 graphics > Wii= not important because that's a given and everyone already knows PS3 owns Wii in terms of graphics. Gamecube could put out better visuals than ps2, but they were closer than ps3 and wii.

Nice find though.