First off I'll need you to listen to this and be amazed.

That is freaking cool isn't it?

Now that I have you interested I'll get back on topic. Remember when games were like this?

Well that is how audio currently works. Pre-recorded sounds are manipulated within 3D space to sound like they are coming from onscreen objects. That's literally the equivalent of using videos of real people in games.

So how long will it be before games render sound on the fly? The benefits of such a system are obvious. Sadly yes, it will be the death of voice acting.

Why is Luigi a barber?  Manuel = Goomba

I still don't even get the question.  Perhaps I have drank too much.  Sadly, I can't say I smoked too much.  That will be tomorrow.

It would also be the death of live orchestrated OSTs.

I hope it never happens.

Why do you want to go back to the old days?

Why would it be the death of OSTs? Even though we have Avatar CGI we still have traditional actors a majority of the time.

Why does my scalp tingle like my hair's actually being cut... xD

Cool video (which is weird being only sound). But it will be a long time, if ever, to get that in games.

I think the reason because audio is still neglected in this industry is because in video games the "thing" that impact us the most are the graphics and that's a field that can always be worked on resulting in obvious improvements. Meanwhile, with audio those improvements aren't that easy to notice. You only have to hear that vid with headphones as it recommends and without them, the result is not the same.

So, given that most people use their TV speakers, using only headphones when they play on-line (and then music is not important but hearing your team mates or opponents is), developers don't feel the need to increase their budgets for audio unless it is to hire recognizable voices which are a selling asset.

lol

What has voice acting to do with a game rendering sounds on the fly? Why did you post that youtube video to support your argument? The audio in that video is also pre recorded. Its called binaural recording, a method to record sound with 2 microphones: http://en.wikipedia.org/wiki/Binaural_recording

I'm not sure how this is connected to what you have in mind.

That video was freaking awesome, despite not even being that mellow it really gave me ASMR.
I would love to have that level of sound quality in a game, nothing I've heard to date comes close.

Meh, I never play games with headphones on unless its multiplayer and I use it to communicate with other players. I have a kickass 5.1 setup otherwise.