We'll start telling our grandkids about the time we saved the world from Nazi Zombies. The memories will be so vivid, we'll actually believe that they happened. Then, our grandkids (yes. we're going to have grandkids together. don't ask) will put us in nursing homes and never visit us.

Aw, shucks, I wasn't planning on having any grandkids.

Was it that time when we sent wave after wave of our own men at them, because they explode when they've eaten too much, a strategy that will be used for generations to come?

We're already seeing multiplayer, community and communication becoming more and more important in games, I'm guessing that this is where we'll see the most investment, next.

Once it is obtained in the movies, then we are several console generations away from it being at home.  Also, it would depend on in what context the photorealism happens.  We talking completely rendering a city in all its detail, Matrix style, or in a one on one fighting game?

Games will be pushing larger and larger scope, even today, in what they do.  Expect larger worlds to be render.  I would expect that super scale will go massive multiplayer with either sponsors paying for it, or monthly fees, or both. 

A good way to ask about this question is to ask what will be the "next big thing" besides graphics.

Don't underestimate the extent that an industry will drive up production costs to get less and less bang to the buck, particularly when a marketspace is competitive for customers. 

The PS9.  Yeah. I SAID IT.

Next gen should hopefully look like this

Playground Festival Trailer from Revolver on Vimeo.

lol at that vid