wold even argue that TLoU Part II IQ looks better than all these games shown.
I disagree, because Horizon 2 looks better and it's open world. But I guess you have a point when it comes to something like Sackboy, which to be fair can't be compared to the graphical style of TLoU 2.
I'd say what we seen in this presentation looked good mostly, but I realized a bigger than ever gap between games depending on their budget. Of course we don't know how much budget the games have, but I think you could see the budget difference imo.
I think dimishing returns and also budget will limit games next gen more than we probably anticipated. However I think another issue are the memory of everyone of us, because we envision games looking better than they actually are and sharing the best of the best photos/GIF doesn't help with the perception our mind creates.
Games like Gears, Horizon 1, GTS, ... look amazing. Stunning even and are personally some of the most impressive games and are in my top 10 this gen. But the games have obvious flaws and we tend to forget about them. When you think about effects like fire you envision them with Ray tracing in mind, if that makes sense. If you know start up Gears or GoW going to a level with fire, then you realize how it actually looked.
What impressed me the most about some of the best looking PS5 games shown are the density of assets, the variety and how much geometry is there. This gen we could have good looking scenery and some good looking characters. But next gen their will be more scale to everything. I don't think metal with scratches will look much better than on PS4. But I think we'll get this level of detail on a different scale unseen before. Scale and then much more natural and dynamic lighting.