-They are not finished with the game yet, still adding improvements both gameplay wise and graphically.

-They are making good use of the SPU's and streaming off of the Blu-ray disc

-Their goal is to get the Blu-ray film & game to look as identical as possible... so there is no transition between game/cinematic

-They will not be at GDC this year, however expect to see new updates to their website around the same time.
[via PSU]