I heard of the project but I never saw that specific demo video. The one I saw was much more simple, no background, two exact applejacks, anyway. That would be awesome, I would pay money for that. Let's just pray there's finishing moves, or at least really unique moves, like The Stare. (Fluttershy's finisher would be Flutter-rage.) And that there is lot's of characters, not just the 7 main people. Include the CMC, maybe Snips and Snails, Luna should be a boss, and Celestia should be a cutscene only character.
That would be awesome.