This is fake. You can see where he switched from the modeled face to the photo between segment 3 and 4. The ears and devices might be cg, but he worked them over a photo. Note that he never shows a rendered scene of the face outside of the flat picture. He could have just as easily rendered the further out version, but not here, because it's fake.
Giveaway: have an iPhone on us!
Jul 1st 2007 3:40PM (Engadget)CGI night elf causes screaming in uncanny valley
May 6th 2007 1:44PM (Joystiq)It's our 2nd birthday and we're giving you the presents!
Mar 8th 2006 3:05PM (Engadget)http://www.xbox360fanboy.com/2006/03/07/super-gameplay-screenshot/