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The camera/viewpoint system in UDK/UE4 can manipulate all three axes.
So no, the issue hasn’t been fixed since it was never broken
RiftCoaster was designed for VR, so the the lack of mapped pitch & roll may be that way by design.
is common practice for VR, thus far.
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Actually isn’t true as Boone has said before that he simply wasn’t able to make UDK manipulate the camera at the time he made the demo. We had a lot of trouble with in UDK, there’s a forum thread on it on the Oculus dev forums. (Which was actually started by him)
There are positives and negatives to each. Play with both and see which you like.