[djbass]

I'm rather surprised people haven't encountered this sort of thing before.

It works on the principle that we hear 3d sound with only two ears, so it should therefore be possible to recreate 3d sounds using just two audio sources (left & right). Used to be a big thing many years ago before the technology was cheap enough to allow multiple outputs to be put on a desktop variety soundcard. You'll find that most soundcards even today still support this feature and when you set the speaker type to 2-speaker or headphone it downmixes any 3d audio using this technology to try and recreate the same effect using only two speakers. Although it works best with headphones because they create a more controlled environment you can still get the same effect using a decent set of speakers, just adjust them so that they form a perfect triangle with your head (that is the distance between each speaker to each other is the same distance as each speaker is relative to your head). It also helps to close your eyes so your only relying on auditory input which enchances the effect.

The other thing I picked up is I think it's meant to be a play on the classic helicoptor effect used in many other 3d sound demos.