That whole lose/gain polygon thing was done a lot with the Dreamcast. Especially in Graphically impressive games like MDK2 and Shenmue...

I really don't think PS2 can do Bump-mapping. If it can, please provide an example of a game that does.

Several Xbox and Gamecube games rely on bump-mapping, and even the Dreamcast (which has twice the VRAM of PS2) pulled off bump-mapping in titles like Soul Calibur.