Holy crap, that does look incredible. I've heard it all before, though. Still, if Gabe Newell likes it, then maybe it's got legs.
The articles i've read from people say it's amazing. They say you look up and down and side to side for the edges of your screens but you only see game world. They say you don't even see the screens in front of your eyes.
And yeah, a lot of big names are supporting this. Valve already has Team Fortress 2 playable and ready to demo using the Oculus Rift this year.
I can only imagine Skyrim with it. And in the future being able to reach out with your hands and interact with the worlds in Bethesda games. It's gonna be amazing. They have to bring back levitation spells just for that. Also they'll have to get rid of forced third person camera views since it would break immersion. And maybe add reflections in mirrors and water so we can see ourselves.
EDIT: And allow us to see our bodies in first person view when we look down.