They can't improve graphics for games overall because it's still a painstaking process to make the models look that good. The improvements are in the ability to have such models and such in real time, but it's not worth it at some point unless they make some new methods to speed up the process.
Basically, games can't look utterly amazing and be cost effective. They won't make it look better unless they are able to get scanning technology from the Gods to scan stuff in directly and modify it from there.