I actually experienced the occulus rift and basically what it does is it takes the camera controls and syncs it to your head movement, orientation and so forth. If your rig is powerful enough then it works really well but this is more or less botchamania E3 edition.
Yeah, I'm with Bomb. I don't get what I was supposed to bee seeing here. However, I also haven't looked into this Oculus thing at all so maybe that's why I missed the point of this video.