i just found this out today, i know some of you may have known about this already but i didnt XD, anyways:
Final Fantasy Versus XIII may not have made an appearance at Tokyo Game Show 2011 this year, but thankfully that doesn't prevent us from receiving any updates. Famitsu recently conducted an interview with director and designer Tetsuya Noruma, who talked a little bit about the game's engine and new lighting system.
Nomura stated that he recently did a walkthrough of the full world map, checking up on the game's dungeons and town side paths. He mentions being impressed about the expansiveness of the whole game.
The main focus of the interview, however, is the use of Visual Works' new Luminous Engine (Visual Works is an internal studio responsible for CGI work done for Square Enix games), an all-purpose toolkit designed for multi-platform development. Nomura explained that the Luminous Engine is quite capable of some very impressive lighting and it fits with the team's aim for a more photorealistic game.
With that said, Versus XIII is only incorporating Luminous' lighting engine. Nomura notes that Versus XIII has its own action oriented engine, which has its strong points, but coupled together with Luminous and you can expect some impressive tech.
Nomura ends the interview by promising fans a "Final Fantasy like you've never seen before." Recently, Square Enix did state that Final Fantasy Versus XIII entered into full production. So hopefully in due time, after the Final Fantasy XIII-2 and Final Fantasy Type-0 releases, we may hear some more news soon.
im really looking forward to this game, it looks and sounds like its going to be amazing