I have been a follower of this project since pre kickstarter, and a first backer.
It sounds like any multi driver headphone, but it is not, the tests i have read reviews on have described it as mind blowing. more than your average gaming headphones.
The developers have tried their best to explain what they are doing, without giving too much away.
one thing they have expressed in interviews,is how very different sound, and positioning is to every person, and how this is processed differently for the individual.
yes, some of it is software, but some of it is hardware. I am yet to hear these but i have my faith in a product that i will be impressed with.