I kept thinking "What? With exactly what computer systems available in 1962 where they using?" Plus the entrance/exit tones seem to be overly sensitive in parts and under sensitive in others. My iPhone has at least 10x more computational power than was available in the entire world combined in 1962. I think this is extreme cherry picking. Shit man, this is 9 or 10 years before the invention of the microprocessor. Hell in 1962 we were still in the process of moving from magnetic core memory to solid state dynamic memory. NASA was just starting to use the newly invented "integrated circuit" technology.
At the time, there was only one system even aproaching this kind of power necessary to run that kind of a complex algorithm. That was ILLIAC IV. But, it (with the final 256 parallel processors) wasn't ready until 1976. I think it ran FORTRAN or BASIC or something arcane like that. My exposure to FORTRAN was limited but I cant begin to imagine how it could be used to digitize, decode, compare with previously saved frame, differentiate, run a very complex algorithm, render replacement pixels seamlessly, re-encode, and transmit the frame, and then mark the somehow digitized information to be saved for comparison for the next frame.
At this time, programs of any size were "written" using punch cards. No shit! Punch cards. Just like this.
Wikimedia Error
This card would hold 80 columns and each column had a possible value of 0-9. For processing of a program, each card was loosely thought of as being one line of code in FORTRAN. You don't have to be a programmer to understand how many lines of code such a program would have needed. I shutter to think of it. Remember, there were no such things as objects or functions. It would read and compile at the same time. One command at a time.
So... Basically, what he is asserting is freaking impossible in 1962! Today we see this stuf all the time. Take a look at a football game or probably more apropos, a hockey game. Essentially, we are being asked to believe that technology existed in 1962-71 that would have allowed for the little puck follower glow thing to be shown to you in real time. Its the same sort of technology we are talking about only the NASA version of 1962 could actually remove objects all together and instead re-render the pixels containing that object to look like whatever should have been there!
I hope this makes sense. if not, let me know.