Story Telling Done Right

So I am playing Lair last night. I am about 70% thru the game. I am not really enjoying myself. Why is this?

Great Graphics? check
Fun Controls? check (yes, I like them)
Cool New Things To Do? check
Good Story? nope

I am falling out of favor with the game because of the terrible story. The character dialog is predictable. It is boring. It is probably read by the developers friend and written by the lead programmer.

Let me tell the videogame world a secret. Programmers should never be allowed to tell story or create a graphical look for a game. In the movies the director doesn't do the 3d art, so why should a programmer get involved?

I saw this video on Youtube last week:

http://www.youtube.com/watch?v=cSFl7O4nJyM

How can a dude with a puppet make a much more dramatic video then a multimillion dollar game? Much like a videogame that puppet show is just plain silly, but it draws me in and makes me believe it. Lair totally fails on this level.

Even if the gameplay and graphics work, I can't be drawn in unless it has a good story as well. Lairs story telling falls short, and that is what is ruining the game.

Edit: If someone wants to be cool...please leave a comment on how to embed youtube clips. I think a mod fixed my last one, but I still don't know how to do it.