I have to say this looks really impressive.  If this is the level of character tech we will be seeing in next gen games, sign me up.

Here is another video.  Have to say if this will be the base any developer can achieve I wonder what the bigger studios will be able to do like Naughty Dog or Ninja Theory.

Well, you have been saying wait and see on character development and what is in store for this gen.  Having something like this in Unreal engine definitely means this will be the norm probably going forward when they release this tech.  Hell, it makes me want to jump in and see what I can do but damn I do not have the time.

Why not.  This is part of Unreal so any RPG that uses the engine will now have this character creator.  Actually this creator allows much smaller studios to have pretty much the same advance character creator that the big studios have and its require no developer for creation.  It also scales all the way down to mobile so Developers can pick their target platform and go to town or scale back for moderate hardware.

Lip syncing needs work. Then again I haven't even seen film quality CGI able to replicate exact human movements and nuances. Still mighty impressive, we're slowly getting over the uncanny valley territory. The mouth and teeth needs work as do the eyes but we're getting there!

Hoping to see these kind of quality face in future UE games in the not so distant future.

Seriously impressive.
Can't wait til we see what the 9th gen consoles can really do once they stop being held back by weaksauce 2013 hardware.

We have quite impressive looking character models and faces already in Spiderman: Miles Morales already. Watch this Youtube clip and check in-game cutscene models at 20:00 (be warned tonnes of spoilers if you intend to play or read/watch Spiderman) or other less spoilerific videos of the game. But I idd!

Honestly those don't look much better than 8th gen models to me, they still appear quite plastic looking, like mannequins. The fact the game is based on a PS4 title probably has a lot to do with that. I want to see a game built fully from the ground up for PS5 or Series X, with no ties to last gen technology.

So far nothing really looks "next gen" to me.

They are video-gamey are characterized I think thats by choice and they aren't going for photo realism. The one thing that stuck out for me in the games are the animations, and the eyes. Which are top notch to me.

Off looking eyes can throw me off the realsim of a 3D model and end up looking uncanny/wrong if done wrong.

But yeah next gen games with character and models designed for next gen are going to look more and more impressive. Can't wait for the exlusive games for either consoles and PC to push ultra realistic games and models.

Personally I'm really hoping that Hellblade II isn't crossgen and will showcase the power of Xbox Series without having to run on the Xbone.

It's a UE5 game and the first Hellblade looked incredible for it's time and hardware, so if they aren't constrained by the limits of cross-gen development I'd expect Ninja Theory to deliver the goods in a big way.