The first company I worked for out of college did that, as it was a technical position that hired people out of university who studied science and engineering. They had two of us and an interviewer. The other guy gave his presentation on Ruby lasers, but his explanation was a more complex version of "the ruby filters the input light", which is completely incorrect. I tried to hint at that in a question or two, but the interviewer did not have any physics background, and seemed to think it was an informative explanation.

So I'm not sure that this method works if candidates can give talks on subjects the interviewers are unfamiliar with.