How matchmaker will work in phase 3

Here's how a team works:
At the start of a match, all player's on ONE team have their Elo ratings totaled and divided by 8 (max players). You may realized that this is simply the AVERAGE of a team's total Elo. Team 1's average and Team 2's average are then used to calculate the probability of win (as per the formulas above). If Team 1 beats Team 2, then the appropriate math as above is applied to each player using the probability score calculated by the team averages.
Some people also asked to have the description simplified. Here's the summary:
The Match Maker uses a scoring system to determine if your team is more likely to win or lose based on your team's average Elo rating.
If the Match Maker determines that you're going to lose, but you actually win, then your Elo score is going to go up and the enemy's score is going to go down.
If the Match Maker determines that you're going to win and you actually win, then your Elo score isn't going to change very much (if at all). The same applies to a prediction of loss and you actually lose, your score may drop but it will be slight.
The more games you participate in, the more accurate the Match Maker becomes and you will start seeing that you are playing against people of relative equal skill.