Look out Wii, no hands! err, I mean no controller. Project Natal is Microsoft's latest bid to move into Wii's territory. Shown at the Tokyo conference, this thing looks pretty cool, and I bet all those people who broke their T.V.'s with their Wii control are stoked too. Now if they could only show a game I'd actually play on the video clip...
Info from Wiki
Project Natal (pronounced [naˈtal], nah-tahl) is the code name for a "controller-free gaming and entertainment experience" by Microsoft for the Xbox 360 video game platform. Based on an add-on peripheral for the Xbox 360 console, Project Natal enables users to control and interact with the Xbox 360 without the need to touch a game controller through a natural user interface using gestures, spoken commands, or presented objects and images. The project is aimed at broadening the Xbox 360's audience beyond its typically hardcore base. Project Natal was first announced on June 1, 2009 at E3 2009. Microsoft said that over a thousand software development kits began shipping to game developers that same day.
Though Microsoft has not officially announced any price or release date projections for Project Natal, it is expected to be released in late 2010. Project Natal will reportedly also serve as the basis for a "new" Xbox 360.