I am very much an advocate of keeping as much of a game as possible in the form of gameplay rather than simply showing me what is happening. Games are an interactive medium and I think the focus should be on the interactivity, not simply having a movie broken up by sections of gameplay. I feel this is the more immersive approach, particularly for first person games, which tend to be my favourites.
I wouldn't not buy a game based on the number of cut-scenes it has (unless it went massively over the top with them), but I would certainly prefer an alternative approach of some sort that favoured gameplay delivered story.