Yeah having actually played it you run into this immediately. NPC cars will deform in a crash, but a street lamp will bring your car to an immediate stop.

That’s far from an unsolvable problem though, and this is a graphical tech demo, not a full game with the associated staff, budget, time, etc.

The Demon’s Souls remake (which I think actually looks nicer) has tons of destructible boxes, tables, stone work, etc (the original had much of this as well). I’m more interested high graphical fidelity being used in these smaller, authored spaces than in massive, often empty open worlds.