The Uncanny Valley in Your Browser

This appears to be a technology demonstration (requires Adobe Flash), but the intended purpose of the technology is a mystery to me, as I can't read Japanese. However it's also the most startling illustration I've seen in some time of the "uncanny valley" hypothesis, the idea that the more lifelike a simulated human is, the more cute or attractive it becomes, up to a point where it is realistic enough to suddenly become unnervingly creepy for reasons you can't quite put your finger on.