Sounds like the new Project Offset to me.
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Project Offset is what immediately came to mind for me as well.
A highly scalable science fiction world sounds like it should be right up my alley, but honestly after the initial "that's cool" little about this video did much for me.
The stepped mountains look very strange, as if the scalable terrain are set up with a simple blocky model (almost like minecraft) which is then given more texture and form when you get closer. But mountains should have slopes. One set of stepped mountains wouldn't have bothered me, but much of the terrain seemed to be built this way - unless this is the land of the ziggurat people it doesn't work for me. Other parts of the landscape did look pretty, even if they were utterly devoid of content, but too much of the terrain (even excluding the stepped mountains) looked utterly unnatural.
If this game is focused on a single solar system, with only a handful of planets, I'd be confident that the content is coming and the current emptiness isn't an issue. But if they're planning on having scores of generators worlds I think the scalable terrain system will be little more than a fancy graphical gimmick - it will be astonishing the first couple of times, and after that the impact will be lost and the barrenness of the planets will overwhelm any beauty.