The problem with a blanket statement like "Are Videogames Art" is that it casts too wide of a net.
To me there has to be a tangible sense of creative effort put into the product before I would consider it a piece of artwork. It needs to communicate some form of message or emotion to the viewer through the experience.
Or to give the Webster's Dictionary definition.
"The conscious use of skill and creative imagination especially in the production of aesthetic objects"
To that end if you asked me to consider DoA: Extreme Beach Volleyball or Burnout 3 as works of art I would tell you no. There is no creative effort in either product. Certainly some amount of creativity had to go into the graphic design of the product, but the same could be said for a stop sign or a bag of Cheetos. Those types of games, if completely pressed I would have to classify as Pornography. Not in the strictest "sex on film" definition but by the generic definition as a "Depiction of acts in a sensational manner so as to arouse a quick intense emotional reaction."
But there are Video games out there that do try, with varying degrees of success, expand beyond that quick thrill and leave a lasting impression.
Games like Brutal Legend, Silent Hill or Metal Gear Solid, you might not care for them, you may even hate them, but the effort that the creators of those games put into their final product is obvious. The people working on those games had a story they wanted to tell and an artistic style that was important to the finished piece.
So "Are video games art?"
No. No more than movies, books music or television.
Can video games be the medium through which art is produced?
Yes, Much in the same way that certain movies, books, music and television can.