Yup, done via the new geometry shader units. I'm asking myself though where the border is in terms of actually implementing this in a game. The amounts of work are just incredible when thinking of having to do high-poly versions of everything in your game so you can apply tesselation to the low-poly versions. In order to release games in the current time frames you'd need to hire quite some additional artists to get the work done...

The results are cool though while in that demo things are a bit overused and the performance isn't that great so it's going to be a while until we'll see that level of detail in an actual game...