It's called Bioshock and it's made by the same people who did System Shock 2. In some ways paying homage to it.

The killing girls part is an attempt by the developers to inject a moralistic choice into the game, the lil' girls are the only ones who can attain certain items in the game, defended heavily by a mechanized suit of armor called big daddy. If you kill the girl you get alot of stuff, however you need need to first take out the big daddy which is no easy task. At the same time the game will offer you non violent ways to work with the little girls.

Previously Prey was going to have the same kind of thing, before they chickened out and turned it into Quake 4 with some M.C. Escher bits.

The voices and images remind me of System Shock 2.

Doom 3 was only scary to a point, unfortunately it was the same old shock scare every time, and the overuse of the monster closets.

I have no idea what AVP is doing in there at all. Quite honestly, the real scare in that game is the realization that you actually spent money on the Jaguar.

And System Shock 2 deserves a much higher rating.

Fatal Frame should be number one and system shock should be higher. I don't know what Doom 3 is doing there, because I didn't find it scary at all... but that might have more to do with my willingness to run fearlessly into combat as long as I have firearms...

System Shock 2 FTW!

Speaking of SS2, I need to submit some SHODAN videos!

I'd totally lose it if I had that in my house, those sounds it makes are exactly the same ones those crazy psycho monkeys made in System Shock 2, and if you know what am talking about, hearing those things is damn near traumatic...