Well the PS3 is not based around the GPU so simply saying it has a G70 is not fair. The Cell CPU was originaly designed to handle all graphical calculations and even though it is no longer intended for that use, it can drastically help take visual loads of the GPU. So unlike a PC that would be bottleknecked, the GPU in the PS3 is really not. Anyway yes, I think it could handle modern games just fine. Considering though the developers are saying they are not nearly using the system to it's fullest, it may have trouble with future games. (Again, Motorstorm using less then 20% of SPEs power)