The important part of this is there were no server error related icons to indicate packet loss, etc. If it were just packet loss or a ping spike an icon would have appeared in the lower left side of the screen.
Here is a perfect example of this patent in full effect. As you can tell by Dr. Disrep. reaction he cannot believe what happened. As you can see he clearly should have won that engagement. Someone climbing up a ladder will always lose the gun fight to a decent - skill player - just waiting for you. Yet as you see, as he was told, his aim was swaying left/right from target and his bullets weren't registering. Both of those are the best example of Activision Patent working in real time in a multiplayer, online game.
Look at the score so far. As you can see 8thoughts was already on a team that was curb stomping the other team. As his best teammate had a 7.00 k/d (7 kills, 0 deaths). The algorithm kicked in to "level the playing field" by improvising hit registration/ping. But the important part of this is that the algorithm is effecting the entire team. Not just the player who is doing well. Had there been no algorithm his entire team should have been above 2.0 k/d while the other team would have a negative k/d. Perhaps causing some to rage quite. However, that is Activision's fault for placing those group of people together into teams like that.
So in these 2 videos the algorithm can effect:
All in real time. It's not limited to using just ping. It's not limited to just hit registration. It's not limited to swaying your aim. But a combination of any and all of these. And it's not limited to just that. It can cause you to move slower too, etc.
And Dr. Disrespect reaction to it when it happens is the typical reaction when it happens too. When it happens to you when you know you have the advantage you will also say, "WTH just happened!!!"