There's been plenty of coverage of Skype Translate but when you watch this demo you really don't need the brains of a bishop to realise how much good a fully developed version of this service could bring to the world.
Congratulations to Microsoft! This is the first time I've really thought "wow!" in a long while.
Imagine in the very near future technology allowing humans to bridge geographic and language boundaries to connect mind to mind and heart to heart in ways never before possible.