Well baked-in GI is not news, ME 1 had fantastic BAKED-IN GI (megatexture-style). Dont know about ME 2, might be dynamic. The UE 4 tech demo for PC showed great DYNAMIC GI, hopefully the new consoles can run that. I just noticed many of the next-gen demos did not showcase it as clearly... But hopefully devs will shift to getting all the juice from the new consoles.
I thought we would finally get good global illumination approximation this generation (and maybe we will... wait for UE4). I love Thief, but when he turned off the lights and turned the valve it look pretty flat ambient and low texture res... a PC could do that 5 years ago...
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