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Here's what I wrote earlier on Evilavatar.com on this topic:
These are very old images, mostly from our internal PR Kick-off meeting with MS back in December 2004. They were never intended for release and they don't come anywhere close to representing what the game looks like today. In fact some of those images don't represent the game AT ALL! The grassy field images are from our GDC 2004 Unreal Engine 3 demo and NOT from Gears! That is TWO YEAR OLD engine demo content we showed to MS PR people to give them an early flavor of what the tech could do. As you can probably guess we're pretty unhappy that these crappy images have surfaced. Unfortunately this isn't the first time our publisher has released content not intended for release and it feels like a punch in the gut every time it happens.
m_hael: true but any sort of FSAA on the PS3 will be far less "free", since the embedded ram on the xenos is an all-new thing in the industry with the sole purpose of non-taxing AA. Whether it takes effort or not to actually take advantage of is a whole different thing, and people will expect developers to use it.
I suppose its annoying to have to develop key structures of your engine to specific never-tried-before hardware and not be able to cash in on those features on other platforms like the PC, but such is the nature of console development.
And what you meant by artists not drawing trees like that is yes artists dont use flat faces with alpha texture to draw branches or straight sticks of polygons. Thus the clearly polygonal and rather mathematical and patterned assets are not hand drawn.