The Spacebook project uses a new type of glass that was recently patented at the SENSEable City Lab at MIT, in order to create "an interactive house whose walls gradually change in transparency with changes in local environmental conditions and the presence or absence of people inside and outside the space."
The SENSEable City Lab has given rise to more fascinating projects than I could list here. Another favorite: CurrentCity, which unites mobile technologies with data aggregation to create a real-time portraits of cities in motion.
SMS during New Years Eve from realtime city on Vimeo.