"Recently at the Game Developers Conference... was the demonstration of Epic Games' next-generation engine called UnrealEngine3 (UE3 for short). Although the engine is still about 2 years away from completion, its public showing in its current state left almost everyone in awe of the technologies showcased and as explained in snippets by Epic's co-founder Tim Sweeney."
Find out why DirectX9 is the minimum hardware target for Unreal Engine 3, and what else is in store from Epic!
More here.