Artsy!
That's what Bioware decided to do with DA2. They wanted to "hot rod" the art (according to the interview in GI) because they felt that the attempt for realism in DA1 fell short and didn't really help distinguish the game from other, similar games (TESIV, Two Worlds, etc.).
Of course, the extreme end is something like
Okami or the upcoming http://www.youtube.com/watch?v=6P82xyHLE_Y. Absolutely gorgeous artistic piece of work in its own right.
TESIII was artsy, if you think about it. The dunmer architecture, designs, etc. were very stylistic.
EDIT: You can't fool me, there is no game that has non-pre-rendered graphics that actually look photorealistic. At best, you get a shoddy facsimile, at worst, a pathetic mockery of reality.