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This particular e-garment packs quite the selection of hardware, as you can see above -- a trio of LilyPad Arduino boards (and some custom ones), a Bluetooth module, 12 x 12 RGB LED "screen", speakers, bend sensors, a heart rate monitor, shake motors and a power pack.
ENGADGET: Woven's wearable platform for gaming, cool points and a whole lot more (video)
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Hardware controls include power, selection and volume up and down, while the smartglasses also gauge 3-degrees of freedom through head-tracking, alongside an integrated compass and GPS. The built-in camera is capable of 1080p video in 16:9 aspect ratio, although it'll be able to capture stills too.
ENGADGET: Vuzix Smart Glasses M100 hands-on at CES 2013 (update: now with video!)
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"We believe in the strength of that ecosystem, of software and hardware companies that work together to deliver selection and choice, " Mr. Ballmer said.
WSJ: Microsoft's Surface Rivals Both Tablets and Laptops
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The parts you should pay closer attention to are the code patcher, which modifies the Morrowind game executable, and the selection of graphic options based on what your hardware can take, complete with previews (for example, water effects with OR without foam).
FORBES: 13 Classic Games Made Awesome with Mods, part 2
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The talk back menus worked very well, once you get the hang of holding your finger over your selection and it makes a lot of sense to offer a software solution on existing hardware, rather than go the more difficult route of making dedicated (but niche) devices.
ENGADGET: Georgie app offers up Android features and voice-guided menus for the blind: we go hands-on (video)