Very surprising. Though I'd like to see both in motion, I would say Forza 2 blows GT5 away in those screenshots.
Ironically, people said FM2 didn't look very good and was quite 'boring' when that was released.
In motion GT5 is very impressive, as I've said, for the large part it's better then FM2..
That's not to say FM2 is rubbish, there are elements of FM2 that are better, there are more reflections and effects going on in FM2, in the GT5 Demo when you are side by side with another car and there is plenty of scenery there is a distinct lack of lighting and reflections from the other cars/scenery that just ruins what could be an almost photo realistic experience. That's not to say GT5 doesn't still look excellent.
GT5's track furniture and crowd are obviously where corners have been cut so far, the crowd consists of blocks of 2D people which when flying passed them makes for an odd effect..
Grass is IMO worse then FM2, too few 'tufts in too regular a pattern, shadows passing over this looks very wrong.
The track, on tight corners, especially using bumper cam shows the low poly make up of the track as *** white line takes on a discrete polygon effect.
I played Suzuka back to back between GT5/FM2, and from my much preferred bumper cam view, FM2 is very very impressive, but overall GT5 does look better, as it should..
It's early days for GT5, being only a demo I am sure we can expect more, but considering that GT5 prologue is virtually upon us, I sure hope it's a big step up from the demo in terms of gameplay , audio and the fixing of camera's etc..