RE4 on PS2 was another game with the problem of pre recorded cut scene and horrible compression, it now a problem when you do HD port since even the new PC port of RE 4 HD use pre recorded cut scene for Ada missions and the extra costumes from the PS2 extra. If they ever do Uncharted HD or LOU HD collections is going to be super nasty compare to the gamepaly render at much higher resolution and IQ and cut scene are still compressed 720p video. Unless of course they render everything in real time which I doubt. Another reason is HDD space when every game require installation, games like knack takes up 40 gigs on the HDD because of those FMV, and they still got compression artifcacts, where in reality the game data is probably less than 10 gigs. Those were a total waste of HDD space and they eats up the tiny 512 GB hdd that shipped with the system super fast. Even 1 TB wont be enough if you buy lots of games. People that want to go all digital living in countries with slow internet or bandwidth cap are painful and pretty much impossible. I tweeted Andrea from RAD about this, while he didn't directly say no but he agreed that pre recorded fmv are a waste of HDD space.