He evolved a tone discriminator on real world hardware, and after a few thousand generations the resulting circuit was one no engineer would ever imagine - it made use of transistors operating outside their saturation region, and subtle secondary magnetic or PSU-line effects from nearby gates not even connected to the logic pathways. But it was effective and amazingly space-efficient.
Physics in the real world offers an incredibly rich and vast set of variables for evolution to play with, and I feel like our attempts to simulate it in software constructs may be too limiting to yield results approaching AGI.
[1] Article: http://www.damninteresting.com/on-the-origin-of-circuits/
[2] Paper: https://citeseerx.ist.psu.edu/viewdoc/download?doi=10.1.1.50...