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Ok so I read an article over @ Destructoid where Danny Bilson from THQ says that Cut Scenes are a last resort. I won't argue why, nor try to explain why, I think I'll try to share some of the things that have been done that are a little different than cut scenes.
Hideo Kojima
Split the Screen, Play while story unfolds at the same time. If you have people around you while you play they get immersed in the story also.
Eric Chahi
Though it has cutscenes, this word uses NO SPOKEN language to tell its story, it relies more on the language of cinema and ambience both graphically and in sound. One of my favorites.
Retro Studios
Whatever BioShock did for Interactive Fiction, MUST have been concieved first by Retro Studios in Metroid Prime for the GCN
Charles Cecil
This game sets the scenario instantly, then tells the story by NARRATING as if it were the main character remembering.
Last but not least I include a video where the guys Behind MASS EFFECT Talk about Interactive Storytelling.