All cutscenes are in-game, in-engine.
Has any other Xbox360 owner downloaded and viewed the
HD gameplay video to Mass Effect? I lost count of how many times I watched it, I was mesmerized. I think this is one of the those few games whose graphics and technology are used to the best advantage possible in terms of gameplay and emotional immersiveness. The voice acting so far is very good. I can't see this one being experienced in older technology.