This is so clever! Turning mechanical control problems into informational control problems is critical to the ubiquity of micro air vehicles.
Really cool video on the mechanical ignition timing control in a delorean to control emissions. Explanation of ignition advance at the end: https://www.youtube.com/watch?v=ge1GwepqtK0
"How about we just add a simple device that associates the pitch of the blade with the torque, and let a computer figure out how to spin the motor to get the pitch we want? No linkage!"
Yeah, that is dang clever.
So at 0 degrees, increasing torque will, say, increase pitch of the "right-hand" blade while decreasing pitch of the "left-hand" one. But at 180 degrees it will be the opposite. This has the presumably beneficial effect of allowing the craft to climb by simply increasing rotor speed steadily (it will "wobble" a bit but in a spiral fashion which will let it climb without too much inefficiency). Put another way, this means that increasing torque at 0 degrees but decreasing it at 180 degrees allows an asymmetrical pitch to be maintained at a rotational speed which can be seen as constant (over the long term).
In other words, your intuition falls down because the mechanism is not as symmetrical as your brain wants it to be at first glance. Symmetry is an intuitive and attractive for mechanical systems, but it is actually limiting in many cases, and this is a great example.
In this newfangled bird, we use some combination of GPS sensors, an input which is presumably a touchscreen (with all the associated latency, plus wireless), and a speed controller which has to adjust multiple times per revolution of the rotors. For some information on why this is tricky, start here: http://en.wikipedia.org/wiki/Nyquist_frequency
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When the rotor applies more torque than the current angular momentum of the blades, the blades lag behind the central hub, pushing them the same direction against their hinges. On one side, that increases the blade pitch. On the opposite side, it decreases the blade pitch. The motor could also apply a slight braking force, to pitch the blades in the opposite direction.
The flight computer determines the correct timing at which to apply more oomph to the drive motor, which translates to the same effect as a mechanical swashplate due to the angled pins. The total energy imparted to the blades over a single rotation remains the same as with a motor operating at constant torque.
One disadvantage is that you will need a motor that is capable of applying more maximum torque, because you won't be running it at 100% all the time, but with a sinusoidal power level that will go both above and below that steady level. The other disadvantage is complexity in the computer controlling the motor. The advantage is mechanical simplicity.
I assume you mean the motor rotation angle. It's probably not a brush motor, but a 3-phase synchronous motor. That means instead of having a commutator to apply the voltage to the coils, a computer switches some FETs to apply the voltage. In the simplest case, the rotor is assumed to follow the applied voltage waveforms. In a more typical system, the rotor position is estimated from the applied phase voltages and measured currents (usually via PLL or a sliding mode observer).
If you mean "how do they determine the blade pitch?" then the answer is that they don't need to. The controller - weather that's a computer with inertial sensors, or a person watching it - will just manipulate the amount of torque variation until it gets the response that it wants from the copter. Much like you don't actually need feedback of your cars gas pedal position so long as you have vehicle speed feedback.