Wow, that's incredible! Did you see the chrome on the lamp base, the shadows, and the way the light reflected off the back of the IKEA-looking bookshelf? It was completely realistic.
I haven't seen a tech demo that blew me away like that since GSC Game World originally revealed the engine they were working on for S.T.A.L.K.E.R.: Shadow of Chernobyl.
Then again, you have to wonder how many man-hours went into creating this demo. What's important is that tools are created that help automate most of the work. Otherwise it will take five or six years to make a single game.