Oh yeah. Don't get me wrong. I know that the PS3 has reached only about 50-70%... but honestly think about it... all those things put together is asking a lot. If you were to build a gaming rig that could play GRiD at 60fps, 1080p, with more cars, damage, GT5 level models/track, dynamic lighting and say some rain thrown in, not to mention the better physics it would cost a fortune (ie more than a PS3, probably close to a $1000 and that is custom built, go brand name and forget about it). Now ask a system with, lets face it, an oldish GPU, little ram, and a very powerful CPU to do all that.
While that logic does not exactly work you get my point. Honestly if PD pulls all that off it may well be the Crysis of racing games.