Translating step 2
spectrespecsfancy IR-viewing technology, we get an Oculus Sensor eye's view of the Touch controllers.
While the twin black plastic halos are featureless to the naked eye, our camera sees the double rings of infrared LEDs residing beneath.
The LEDs, like those present in the headset, are arranged in distinct patterns, allowing the Oculus Sensor to pick out the headset and two controllers and determine their position and orientation.
Also, thanks to the not-quite-round shape of each controller, the sensor ought to be able to tell left from right—even after you've crossed your arms while playing Disappointed Parent Simulator 2016.