What I got from this is the avatar your friends see on your profile mimics what your character in the game is doing. If that is indeed the correct way to read this, then dev teams will HATE it! Either they will have to use Microsoft supplied software to rig the character armatures or else they will have to port their armature system into Microsoft's software. That would have loads of issues.
Alternatively it could not be 1 to 1. XBOX8 would already have thousands of avatar animations pre made so the game only needs to tell the system "car driving" or "reload pistol type weapon." This would be much more realistic yet downgrade this to a boring feature.
I don't understand what's so special about calculating speaker location unless XBOX8 is trying to replace the receiver. If that is the case they will need tons of models or else people like me wouldn't be able to use that ability.
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