This sounds like interesting technology. However, how safe is it for a driver to pay attention the road in real-time with the 360 view drawing away peripheral vision. Technology cannot ultimately replace the human driver's five senses that are important for driving. However, I'm wondering how well the implications of this technology would be for folks that need assistance. This may even be great for an aging population and education a younger population with safer driving habits. After all, technology this cool will hopefully make drivers more aware as it reduces "blind spots"--yet the video output may give a "video game-type" feel which could also be a hazard.
I wonder if it will pass for car insurance discounts because it is supposed to be an advanced safety feature.
There are many pros and cons and I would love to see more demos like the one you've provided. In addition, the image could some day be interactive and even be integrated into gps for smarter real-time navigation.
Similar to stitching operations performed by high-end applications like Photoshop for panoramas, the four images are aligned then distorted into a donut shape. Check out an example at: http://bit.ly/jAcyR9