Which is where they screw up. An 8 sided cylinder should be absolute minimum. It would look blocky(HAH!), but would still look round. They could more than likely get away with something around 16 sides, have it look just fine, and cut way down on resource consumption. Once the pieces are connected, you won't see the cylinders anyway. I don't know why they're opting for ridiculously over-polied pieces.
I wish I still had GMAX installed so I could give an example. None of my old work would illustrate it correctly.
EDIT:
This picture is something I did a long time ago. It shows how an 8 sided cylinder can still be round. Obviously it isn't perfectly round, so you could see why 16 would probably be more useful.
With the correct smoothing groups, it could pass as round.
Just for comparison, here's a 12 sided one:
Here's 16 sided
[small]Gotta love old photobucket accounts.[/small]
Granted this is from an older engine, but I'd assume that the same basics for 3D modeling still apply.