It's not a hologram. The Idol segment is a choreographed mix of Celine with a Elvis stand-in (wide shots, shoulders and hands) mixed with old footage of Elvis singing "If I Can Dream' over a black background. I wouldn't be surprised if they shot it twice - once with fake Elvis and once with Celine by herself.
My guess is they had access to this original film.
http://www.youtube.com/watch?v=mfvsepvgCCc&feature=related
Notice the Elvi gestures are the same.
Pete
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