Developing a multiGPS unit that spits out an average value shouldn't be that difficult. Reducing the GPS variability would then allow easier tweaking of the wind handling parameters. I wouldn't expect rock solid holding but an improvement would be nice. Thinking some more, the best option would be a GPS working together with an optical system where you'd be able to get very high accuracy for position changes, i.e. mainly use the optical system to holding position.
True, but when I look at all the different multirotor companies and ventures that are allegedly working on GPS for their product I don't see any actually hitting the streets, so either it's a lot more difficult than it appears, or the costs involved put it out of reach for the average hobbyist, or both. To the best of my knowledge the only fully functional GPS (P/H, waypoints, come home, etc.) is the MK equipment, so we know its possible but no one else has yet come up with an alternative that can do everything MK can do.
HeliCommand and a couple other stabilization systems for RC Helis use optical or infrared systems for P/H, problem is depending on the system it either has to be less than 5 meters above ground to work, or it gets seriously confused by weather conditions that don't generate enough temperature differential for the I/R system to work properly.
Ken