Hi JayRoc,
Yeap, I know that one, even if they are not using DCS (I think it's Prepar3d).
I know Varjo XR3 has been integrated already with DCS, there are also this two guys:
One guy who is living in HK => https://www.instagram.com/p/CYGlRnfAy_n/
One italian guy who is doing a 1:1 hornet pit => https://www.instagram.com/p/CYHFx5Wq2ex/
The big drawbacks I find in this implementation ATM are:
Varjo XR3 is outside of my budget (and I think 99% of sim hobbyst), 6000€ + 1500€ yearly!!
DCS, AFAIK, doesn't render MFDs or external screens when using VR. I hope ED changes in the near future, but I think it's a super big problem at the moment. The italian guy has fixed this masking the MFDs to show the virtual world, but I think it's kinda rough.
From my point of view, the best, would be to have some kind of way to place hands inside the simulation with high precision so it matches a 1:1 cockpit with the switches. No need to do weird mix of webcam (that you loose resolution when checking MFDs) and virtual world. I'm researching how to do it and maybe I give Leap Motion a try... it's not expensive at all, so I think it's worth the try!
Kind regards!