Computer Game Physics

Computer games have come a long way, in this post I'll be talking about the more recent 3D games and how they have become enhanced with the use of physics engines.
Going past the time of Wolf 3D and Blood, newer games have developed to take advantage of technology as it has advanced over time.
Until a few years back, 3D characters needed to have their movements animated and were treated basically like 2D characters were in older games, they would have preset movement animations for when they were stationary, when they performed an action and when they were killed. I remember first playing Soldier of Fortune 2, and considering it to have amazing graphics, it was the first time I had seen use of "physics"; the use of a computer to calculate how a body would move after it is killed. This feature looks quite poor compared to physics in games being released today.
In my opinion the use of complex physics engines is one of the most important aspects to creating a realistic game. Games perfected this feature and the newest games to come out yet will have implemented complex new systems to base character movement and materials to respond to their environment and almost any physical movement, a great new preview for this engine was released quite recently:

The video above shows character movement and realistic collision emulation.
The video below, shows how using a complex formula, 3D environments and materials can be made to react in a highly realistic fashion