"One of the ways that we can perceive what's going on around us is through sound. ... using direction, distance, and environmental modifiers. Using spatial sound in an application allows developers to convincingly place sounds in a 3 dimensional space (sphere) all around the user. Those sounds will then seem as if they were coming from real physical objects or the mixed reality holograms in the user's surroundings."
SOURCE: Microsoft Dev Center
“Depending on where a sound source comes from, the waves will reach the entrance of your ear canals slightly differently: different time, different magnitude, depending on frequency, distance and direction,” Tashev said. “So if we want to make a technology that can make humans perceive that a sounds comes from any desired direction using headphones or small loudspeakers, we have to know how that sound changes—it’s about filters.”
SOURCE: VR Scout
INFLUENCE ON NARRATIVES
"Audio design may be more important to VR than traditional film, because the viewer also is the director. The story changes depending upon where the viewer looks, and directional audio cues can help guide the experience. Plus, VR is intended to be as realistic and immersive as possible. Audio that doesn't act the way it should—or the way the viewer expects it to—can ruin the experience."
Christian Fonnesbech. Nov. 7, 2017