It's easily achieved using what we have.
It just takes a bit of hard work is all. Look at the lip movement in LA Noire - it's miles beyond what any one else has done and they did that themselves with a model created by them.
It may catch on due to the new consoles using it but you have to remember how limited they are going to be. IIRC I heard that at best the PS4 will have a GPU akin to the 7850 so it's never going to be able to recreate something like Crysis 3 on the maximum settings.
These technologies are silly (like Physx, even though I think it does add to a game when used) because they are not unified. All the time you have two companies slogging it out against one another there will never be a clear winner. All that happens is coders typically ignore it as a silly idea and don't bother with it. Which is pretty much why there is a severe lack of Physx titles and the ones we do have are the result of the company who uses it being groomed by the head of Nvidia.