Epic announced a host of new features in their Unreal Engine 3 development platform today at this year's GDC, the biggest of which is support for DirectX 11 and its assorted tools. The problem is, for most people, these kind of announcements might as well be in Sanskrit -- they're full of tech jargon that goes right by the average gamer.
I've gone through in an attempt to translate what Epic means by Subsurface Scattering and Deferred Rendering. The bolded segments are features of the updated Unreal Engine 3 courtesy of Epic, followed by our explanation of what this means for games. Epic gave us the thumbs up for accuracy. Yay, us.

NowGamer: Nvidia launches the next-generation of GPUs to PC.
Nvidia took the crown by releasing a mid range gpu.Just think about how the real high end gk110 will perform?
Until they release a game that truly takes advantage of it, we remain firmly in this gen. I'm waiting.

NowGamer: Epic Games and Nvidia show off Samaritan running on a single gfx card amid heightened Unreal Engine 4 speculation.
I reckon this is a pretty good approximation of what the first batch of next-gen consoles will be capable of, but, if this gen is anything to go by, there will be a lot of optimization to happen.
Can't wait to see what games look like in 2020.
I doubt next gen console with get Kepler GPU.
I guess we're talking GTX570/580 or even GTX680, which are expensive, too much for mass market consoles.
Maybe this kind of demo will run without AA and 30fps or something.
New consoles should let you upgrade your console. The way I see this happening though is allowing only SONY formatted graphic cards and Xbox graphics cards for each console. But then there is room for too expensive graphic cards and watered down graphics from the start. Hmmm
Sigh.......... I would luv Sony's PS4's GPU would be either
GTX640(GK106)$139 =GTX550Ti
GTX650(GK106) $179 =GTX560
1.5-2GB GDDR5 VRAM
8GB GDDR3 system RAM (C.Skill RipjawsX series)
Then Sony's next gen system should hold it's own well into the year 2021.

CVG: Stunning tech showcase was built in just three months - but it's not a game.
Not surprising, they made a point of stating it's real-time running on UE3.
Biggest surprise: "but it was nice not to do a big space marine."
Epic's incredible Samaritan demo is playable... to an extent and the extent being that your PC has the following
SPECS:
Nodes Type Speed Cache1 Altix 4700 (512 cores) 1.6 GHz Montecito 9MB1 Altix 4700 (2048 cores) 1.6 GHz Montecito 9MB2 Altix 4700 (1024 cores) 1.6 GHz Montvale 9MB4 Total Compute Nodes (4.608 Total Cores)
System Architecture
Compute node cabinets * 40 * 30 teraflop / s theoretical peak (10.240 Original System – 63 Tflop / s)
Subsystems
* 2 front-end nodes
Memory
* Type – double data rate synchronous dynamic random access memory (DDR SDRAM) * Per Processor (core) – 2GB * Total Memory – 9TB
Interconnects
* NUMALink interconnected single-system image compute nodes * Internodeo InfiniBand – 4x (Single Data Rate, Double Data Rate) o 10Gb Ethernet LAN / WAN interconnecto 1Gb Ethernet LAN / WAN interconnect
Storage
* Online – DataDirect Networks and LSI RAID, 1PB (raw) o 1 SGI CXFS SGI XFS Local domainso fileystems * Archival – Attached to the high-end computing SGI CXFS SAN file system
Operating Environment
* Operating system – SUSE Linux Enterprise * Job Scheduler – PBS * Compilers – Intel Fortran, C, SGI MPT
They should release it so I can run it! It would be a great benchmark! Next gen pc on linux please!
The thing is, while it looks amazing, that wouldn't be in-game if it was an actual game, it'd be an FMV.
No game on the Unreal engine looks that good. Not with all the pop-in, texture loading and other crap.