Have a look at
this. It's an article about effects being used with the Source graphic engine (Half Life 2). It shows how the eye works (not literally) and how games will, and are, beginning to show 'real life' effects within the graphics engine.
To that effect, you will see varying focus, motion blur and even special "film" effects like ageing and colour correction very soon. Quite cool. There are some videos there (that I haven't gotten round to downloading) that demo the effects too.
An
interview with John Smedly on SWG and what is happening to this particular MMO. Sounds like 2006 may be interesting after all :)
Anyone see Top Gear last night? That's what it's all about - fantasy. I love it.