I think important caveats need to be kept in mind. From the New Yorker article:
I.B.M.’s Compass has more neurons than any system previously built, but it still doesn’t do anything with all those neurons. The short report published on the new system is full of vital statistics—how many neurons, how fast they run—but there’s not a single experiment to test the system’s cognitive capacities. It’s sort of like having the biggest set of Lego blocks in town without a clue of what to make out of them. The real art is not in buying the Legos but in knowing how to put them together. Until we have a deeper understanding of the brain, giant arrays of idealized neurons will tell us less than we might have hoped.
Recent article in The New Yorker:
http://www.newyorker.com/online/blogs/newsdesk/2012/11/ibm-brain-simulation-compass.html
Here is the research report from IBM, with the simple title "10^14":
http://www.modha.org/blog/SC12/RJ10502.pdf
It's nothing like a real brain simulation, of course, but illustrates that hardware to do this is getting very close.
There is likely to be quite a long overhang between the hardware and the software...