And, I'd like to imagine he has some enjoyment at the thought -- if you saw his keynote showing off a precomputed(ish) raytraced walkthrough of their new office space, he was really enjoying himself and the possibilities.
What Hsun has is an incredibly good window into the silicon side of the problem, and he knows how many chip cycles he's got to address the amount of computation needed for physics, visual realism and presumably a latency budget to allow wireless support. Plus he can estimate what screen tech will be doing.
It's a prodigious amount of R&D, and it is a bit breathtaking. Finally having a reason to do it, and a taste of how appealing it can be is pretty cool.