I think its slightly ironic that the new FSX official screenshots on fsinsider.com are next to some FS2004 shots.
I know its only in Alpha but can you really tell the difference at this stage?
Have a look: http://fsinsider.com/screenshots/default.htm
Apart from the new aircraft, water textures, scenery and birds I don't think they're all that different.
Just watched the video from MSDN Channel 9 on the MS FlightSim team. Very interesting to watch those talented guys.
Does MSGS work in conjunction with ACES Studio in the same office?
P.s. I'm a newbie to the forum after about 6 years of FSimming and watching flightsim.com