i believe its real time why not? it looks good as we expect next gen games to look good. also just like i expect forza to look that good. like it was said before that looks to be on par with PGR3 if not a little bit better, so i totally believe it to be real-time.
thats one of the (very very few) advantages of games being developed on the ps3 compared to the early 360 games (launch games). you cant take a "mock" ps3 and start your development on that, you have to start from the ground up using some form of the cell chip and a Nvidia GPU. the 360 however got altered macs as their early dev kits and didnt come close to showing the true power and so the early games are going to be held back by not being built from the ground up for the custom architecture within the system. yes that problem is over now since the final dev kits have been released but i believe it will help the ps3's launch titles that they were built from the ground up using the same technology that is going to be in the system.