Real time raytracing to go mainstream?

http://www.nvidia.com/page/geforce8.html

The smoke demo at the lower right is raytraced via the GPU I believe. Pretty impressive tossing around all those particles + rendering them. Simple scene, but interesting.

It would be nice to get some feedback in regards to how the new D3D10 GPUs and their architectures lend themselves to some dabbling with raytracing techniques. Dynamic branching has improved, memory bandwidth continues to rocket upwards relative to desktops, and there are now tools being developed to use the shader engines for non-graphic tasks and more as a general resource pool.

Will GPUs take a path that will ultimately lend them to be multi-functional devices that lend themselves to raytracing and eventually GI? What steps are needed in the interim?
 
Even previous generation GPUs did a decent job at raytracing (when properly coerced). I don't think that there's any doubt that the G80 will be a raytracing machine. How it will compare to the Cell architecture will be interesting to see, but I'd be surprised if it didn't hold its own (at least until Cell2, or whatever).
 
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