I hadn't been following this game until recently, but it looks awesome. The dog companion is a truly great idea (Fun Fact: Peter Molyneux had a hard time selling the dog to the development team.) and the world seems like the perfect video game place to watch a beautiful sunrise ascending over the lake. The co-op sort of makes sense in the game world, while still allowing players to drop in and out at will. There are also things that were put in there to make the game fun, as opposed to ignoring the fun aspect and just making it look cool, or something like that (e.g. I'm pretty sure you can relocate ability points at will). The "Bread Crumb Trail" is simply genius. It allows you to explore Albion, and when you are ready for your quest again, you can just follow the Yellow Sparkly Trail. Then there's the ability to buy every shop, every house, every castle, etc. in the entire game. All in all, this may be a strong game of the year contender, if everything is done right.
PS: There is an in-game item-awarding interactive story here:
http://fable2.xbox.com/Experience.aspx. The story is different than the one told in the game, so do not worry about spoilers. Also, check the barrel for another mini-game. (Tip: You have to re-aim every time get a new chicken.)