Listen, I have a real soft-spot for SFM and the people who use it. Valve made some really quality stuff with it in their hayday, and every once in a while I'll see a Saxxy winner that really knocks my socks off. Splicing stock footage with SFM-rendered content is not "production quality" though, and generally speaking their render pipeline has aged the worst of all. TF2 and SFM looked great in 2008, the highly stylized graphics did a good job to separate it from the pack. Nowadays it just looks corny though. Maybe it's because I've just seen so much SFM by now, but I think the bigger issue is that the textures and texture filtering just looks bad these days. If SFM wants to remain relevant, it's going to need a lot of work put into SFM2 to get it ready for a new era of animation.