Upon his return from sabbatical, Hans Muller dove right back into working on the algorithms that make CSS Shapes possible. Before he left, he was working on adding support for CSS Shapes from images. Hans’s latest blog post is an explanation of the algorithm for determining the first fit location for an image shape.
As with all of Hans’s posts, it is very interesting and comes with a cool demo to help visualize how the algorithm works. So you should definitely check it out.