Project Natal, I believe will shape the future of gaming and will force the competition, other video game console makers, to push the edge to offer cutting edge technology to its customers. Project Natal is the newest product unveiled by Microsoft for the XBOX 360. Project Natal is the codename for "a controller free gaming experience" for the 360 platform. The porject is aimed at gaining a new consumer base as well as enhance the gaming experience for the current user. The device features an "RGB camera, depth sensor, multi-array microphone, and custom processor running proprietary software", which provides full-body 3D motion capture, facial recognition, and voice recognition capabilities,"(WIKI article on Natal) allowing for a more interactive,user friendly gaming system.
To checkout Natal, and to experience the demo follow this link.