The Lord of the Rings Gollum game trailer came out and it's not looking good. It looks like the HD textures didn't load in half of these scenes.
It seems like they have gone with a more stylized approach instead of aiming for realism. They weren't looking to have super detailed high-fidelity textures and good lighting. Instead, they went with more cartoon aesthetic.
It wasn't an accident. Unfortunately, the delivery is just not good. Except for a couple of shots, just about everything is very unappealing, and some say it looks like PS2 graphics.
Also, the important aspects of a game come down to the gameplay. It's pretty clear from the trailer that the game will have a big focus on stealth.
We see lots of sneaking around as Gollum likely would do. Hiding in shrubs and tall grass, throwing rocks to distract enemies, climbing, and grabbing onto stuff. It is a fairly linear stealth adventure game.