I would say it would revolutionize virtual worlds..if they get it to work. But I do not know about games. Has the limit of realism in games been reached? People are sticking with their ps2 because the graphics are good enough. People are buying the Wii instead of xbox & ps3.
I could see it being a hit with social games like second life and WOW.
If it does take off what will it do to indie games? Even if we could provide the graphics, who owns the servers? Is it going to be tied to a big company... similar to xbox live?