Simply drag items from your own Desktop, filesystem, or even photos from your photo application (like iPhoto on Mac OS X or MyPictures on Windows XP) onto the large bullseye below. You will see the file names appear in the gray box.
This is the basis for a very sophisticated image or file-uploading system that circumvents the clunky HTML Form-based file uploading.
Believe it or not, this is a Java Applet. It does reqire the following to work correctly: