Microsoft recently announced their latest development for the XBox 360 (at the E3 Expo): Project Natal.  It is a motion sensing camera that will allow you to play games without a controller by sensing your movements and relaying them to your character in the game.  You can punch an attacker, kick a soccer ball, drive a car, ride a skateboard, etc.  It will also recognize your voice, allow voice commands, keep track of multiple players, and allow you to virtually interact with characters in the game (second video: Milo Demo).  If Microsoft supports it with enough innovative games, it could be the Nintendo Wii killer.   
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