I'm surprised people are so hooked up on the idea of racist characters and killing black people to be offensive. These are reflections of reality, so I'm not normally too bothered unless it's done purely to be offensive (though I'm disturbed that some people seem to find these ideas "fun"). What more irks me is the fact that every black guy in a game (when they ever appear) is a walking stereotype. Tends to happen with other races too, but it always seems worse for the black man. How about some original writing and characterisation for a change?
On the subject of sexism, well, it seems sometimes that the gaming industry is a terminal case and there's not much hope of improvement any time in the near future. A lot more girls are playing games these days, but the industry is still very polarised into games for guys and games for girls, and until there are more women involved in actual game design we'll still see all the crass stereotypes and utterly unrealistic character models. Anyone care to name a game which involved a realistic female character that didn't have the body of a goddess? (Okay, a few come to mind, but they're rare.)