From my own experience the communication between different languages is sorta working with some words not fully translated properly but there is enough information getting through so that the translation system could be said to be working.
That being said there is entire houses with only chinese players all using very similar names, none of which we can read or distinguish between unless they have certain characters used like 'running man' etc. Can the translation system not work on their names aswell ? We have selected english language yet these chinese names are everywhere and unreadable.
This is not as much a problem with the russian acc's as there is stil letters and distinguishable names used. This could help to lessen the divide between the different languages just being able to interact with them in game in english like we selected ..so in short the player and house names in other than selected language could be auto translated to the users selected language...
Work like you don't need the money, love like you've never been hurt and dance like no one is watching.