The characters are part holographic, but the witch appears to be animated robot (from Fantasmic!), which has gained consciousness and is one of the Overtakers, disney villains that want to rule the world.
There is at least one robotic scene where she charges from being plugged in to a computer, and gains some new powers
She also says that she is not the most powerful one form the Overtakers, which opens interesting possibilites for the sequels (cruella de ville, ursula,madame medusa, evil queen, or lady tremayne). I'm even thinking of a fanfic here!
I think this is supposed to be the doll in the book:
ht tp://www.coastergeek.com/disney/images/shows ... smic27.jpg
This is the evil queen.
h ttp://www.coastergeek.com/disney/disney-mgm_s ... c/f10.html
Some extra photos are here:
http://www.smugmug.com
Sod it, I'm hitting disneyland this summer :>