That is a huge step, indeed. It's hard to be sure just from that, but it does still seem like they simply took existing genes in one organism and decided which their version would possess, but we may be getting into semantic territory. It's also one step closer to designer lifeforms, up to and including humans. I'd REALLY like to know how they managed to get one species to accept and then replicate the DNA of another, replacing its own; I'm hoping they simply removed the host DNA, that this isn't the equivalent of a virus that can affect an organism and cause it to turn itself into another species.