Dear god I wanted to punch the narrator in the face.
It's interesting, but the demo looks crap. Absolutely nothing in the demo looked "normal" or lifelike. The lighting model they were showing sucked balls.
... Judging by their logo this could just be because they dont have any artists though.
He also seems fixated on shooting down N64-era 3D, rather than the interesting stuff such as tesselation, let alone ambient occlusion and whatnot. Polys are far, far from the end of their lifespan... none of his comparisons even showed any bump mapping.
Also, what are they going to make the little dots with? The tool chain will be critical, and they're going up against some heavy establishment.
I can see potential, but if they want to be taken seriously they have to demo something that compares with a shot like this (from Crysis) :
http://www6.incrysis.com/screenshots/16b4h.jpg*edit* made the image a URL instead of inline...