Take your rose tinted spectacles off people, I've been gaming since the late 70's (Binatone) and games have never been as good as they are today regardless of graphics.
I can't remember anything being as much fun to play as TF2, Bioshock, UT3 Beta, COD4 Beta and Motorstorm etc.
well you have to remember that's just your opinion. frankly i played tf2 for not long at all as i didn't like it. the cartoony feel didn't grab me, the weapons, the playing. bioshock was pretty as hell, but i found myself bored playing it, the story was silly, the enemies not hard and like so many games that claim to be rpg's but are fps's with basic changes, they simply go from stupidly hard for a few levels to almost invunerable for the rest. its biggest flaw was from a hour into the game its really hard to die, even if you do there is no draw back on consequences. because there was entirely no tactics needed and no difficulty i wasn't PLAYING through the rest of the game, i was simply trying to get to the end as quickly as possible for the sake of finishing the game, not really to enjoy it.
ut3 looks promising maybe, but then, i don't think i'll enjoy it for long because snipers are ridiculously overpowered, rockets seem to slow, it just seems it will become a long range hide from sniper fest. cod4 demo i really liked, because it felt like war should feel.
but these are games that don't have great storys, don't offer great replayability in that sense in the first place. i guess the truly great games we all remember, we think back to single player fps's and rpg's with fantastic storys. the halflifes, the deus ex's, the original C&C games, the morrowinds and i dunno, cod1, moh:AA, the thing they have in common, is STORY. they all had good storylines, good storys that pull you into a game create the atmosphere for you. while cod and moh kinda had their storys imposed simply because we all know about WW2, the others provided their own immense storys. C&C's, with kane, and all the other guys they had in, the storys were great.
IMHO almost all the truly "great" games we all remember had great storys, the physics, the graphics, the actual gameplay all vary massively across those we consider great, but the story/atmosphere are what made them. when you actually care who wins and why, you enjoy the game a lot more.