id games did something really similar to this with Doom 3: BFG Edition. Carmack had taken the game and made it so that putting on this ridiculous-looking headset would allow you to actually feel like you were in the game more, and turning your head around actually moved your character's view as well.
Then again that was probably just Carmack being Carmack, because god knows he's thought of some insanely ingenious things over the years and done them "just for the hell of it" before...