No, it's physics.
Rendering photo realistic (or even cut scene level) graphics in real time is impossible.
First, a game has way more than just rendering going on. It has AI, occlusion, physics(collisions, environment, etc.), distance. Even if a game wasn't doing all that, to get that awesome look you need
1) raytracing (ray casting used in games)
* this includes shading, refraction, opacity, etc.
2) radiosity (false radiosity used in games)
3) much higher detailed texture/bump mapping
4) more complex blur (motion, focus)
Even on a super rendering PC machine you would have to sacrifice a lot of detail for real time. Of course, a lot of these problems are parallelizable (hence rendering clusters), so as cpus get faster/more cores, it will be possible.