Microsoft has demonstrated the results of an algorithm its developed to produce hyperlapse video: first-person time-lapse videos without the shakiness.
The idea is to solve two related problems: first-person videos from activities such as extreme bike riding can be a bit dull viewed in full in real time; but speeding them up to a timelapse video further exaggerates the shakiness of the footage, to the point that “traditional” stabilization processing can’t cope.
Check out Microsoft’s research page for more details on how the algorithm works and a more technically-oriented video.