[jstelly]

In the first video you will notice that all of the augmented reality images are presented as added light over the background. That is much more plausible than the the second video where there are objects that can be darker than the background or even opaque. Maybe they have some solution for that but I would not expect it based on my knowledge of the area. In the next few years, I would expect any solution to those problems to come with other problems not visible in the second video.

[cma]

In the patents they have filed, the occlusion is done with moire patterns. Based on other acquisitions and job listings, the patterns seemed to be tuned into occlusion masks with layered MEMS optical shutters.