But yes, most image processing techniques like this lend themselves to video. This is something I hope my startup will someday be able to integrate into our collaborative video editor...
As I understand it, their system is trying to estimate the causes of noise in the image (camera shake, badly focused or dirty lens, etc) and apply an inverse transformation to produce the original 'real' image.
They can't extract detail out of nowhere, so a lot of it will likely be heuristically driven, accounting for specific sources of error and applying adaptive transforms with some sort of 'looks like what we think it should look like' cost function.
Figuring out the cost function is probably one of the hardest parts here.
In terms of video, you've got more data to work with, which in theory means more constraints to your solution making it potentially more accurate, but I suspect it'd also be very easy to get bogged down in the quantity of data.
Combining and merging data from multiple independent sources is a different problem entirely, probably more like synthetic aperture imaging: http://vision.ucsd.edu/kriegman-grp/research/synthetic_ap_tr...
In theory, you can tweak this method such that it is run in parallel frames 'almost' independently. I say 'almost' since you will have to factor in temporal coherence, such that deconvolution kernels do not vary much between subsequent frames (otherwise it will cause unwarranted flicker and jitter like effects)
However, more pertinent and related problem with respect to video is that of image stabilization. And computer vision community is making some exciting strides in the front; for eg: http://web.cecs.pdx.edu/~fliu/ .
http://camcorders.about.com/od/camcorders101/a/optical_vs_di...
Probably would take a massive cloud of systems to correct any highdef video signal, but it would be impressive for many applications (news broadcast, sports, or any live event, security, or remote robots)
Granted to achieve performance on the order of near realtime dsp, it would require an impressive hardware system. Then again, when I can spend the price of a coffee and get access to a cloud of cpu's...