Its nothing new. It is just a modern voxel engine with a nifty way to search for appropriate data.
Here are the problems which arise from a voxel engine compared to a polygone:
- Boxy
Voxels look box unless you have insane amount of points, especially to make it look just as good as an modern poly engines.
- Storage
You have to hold information on each point rather than a few points like a polygon engine. We are talking a at least one blue ray disc for a game like half-life 2 to look just as good.
- Anti-alias
It is impossible to apply anti-alias if fractals are used like in the video. If you want it to look better then you have to have more points.
- Animation
All the points would have to be processed creating a more of a system hog than a polygon engine.
Polygone engines are efficient unlike voxels. Hell sometimes hybrid approaches are used like in Crysis where voxels are used to compute the terrain but rendered in a polygone engine.
The “Unlimited Detail” is a search engine which attempts to limit the amount of resources (memory) needed and only displays what should be visible. The memory requirements for this to even look like a modern game would be insane because it has to iterate and organize millions if not billions of points. If it does not use system memory but rather just look at the data on the hard drive, then well sucks to be you with a slow poo drive.
It sounds nice but wont be practical for ages. Polygon engines are here to stay.