Are Photorealistic Video Games Possible One Day?

(YouTube Link)

I remember a few years back, sitting and playing the opening level of God of War 3 on my Playstation 3, and I thought to myself games are not going to get much better looking than this. That was four years ago, and even with a whole new generation of consoles now, I still stand behind the thoughts. Yes, there are games that are visually stunning, but we have almost reached a peak in gaming, visually speaking. Some of us wonder where it will go next. Just how much better looking can games get, really?

Well, the uber-nerds over at Gamespot try to pose and answer the question many of us have wondered for the last few years now:

Are photorealistic games possible?