While the unlocked graphics style is certainly better for screenshots, it suffers the problem of highlighting close things, while highly blurring anything at a distance. While more 'realistic', if I were testing the game, I'd definitely suggest disabling this 'feature' by default, as it really can hamper gameplay and discovery. Skyrim EMB mods frequently enter into this territory, and it can be troublesome there too.
The headlight effects are pretty cool though.
The worst middle-finger-to-the-audience has to be the mouse handling though - it's not just mouse smoothing or mouse acceleration, but a particularly nasty form of negative acceleration from capping out the maximum allowed mouse speed, presumably to match controller max speeds. This limitation is a pain in the ass if you're expecting any kind of free or accurate mouse control. I cannot imagine any tester not making this a 'show stopper' bug - it's really, REALLY bad from what I've heard/seen/tried, and can't be fixed so far (lots of half-fixes out there though).
Ryan Fenton