He mentions the Sony HMZ-T1 as being a good improvement over what's come before, and talks about his work in prototyping headtracking displays. Going by the enthusiasm of the article, there seems to be substantial improvements.

"Perhaps the weirdest part of our hands-on was when we had to remove the headset and return to the bland reality of the interview room. It was a surreal, sharply sobering moment. Even after such short period of time within the game, we found ourselves entirely absorbed; a gaming experience with a level of immersion genuinely unlike anything else we have ever encountered."