That chick in the ad was not that bad : ).
Anyway, even if this works, playing racing game without any controller? Thanks but no thanks.Same goes for 90% of all games.

Hmm, sounds interesting. So it's like a really really smart camera? I remember the EyeToy had motion capture (wasn't as good, but it exists), so I guess it's possible. The voice recognition and face recognition stole the show for me. If there really is a voice recgonition system that is better than the NaturallySpeaking voice recognition software (which is the best out there), then I'm amazed.

"Product vision: actual features and functionality may vary."
http://www.youtube.com/watch?v=oACt9R9z37U
The gt clip cuts the text off.
Im surprised people think the demo is so far out there. The principles and technology are already in use in the Eye Toy for playstation2, and when you consider that the eye toy was released 6 years ago.
Facial recognition: probably slower and less precise than in the video but a fairly well known tech.
Racing and fighting games: basically more advanced and building on eye toy concepts already available.
Body motion capture: Probably going to require velco and some ping pong balls but again a well known tech
Skateboard: Use your own skateboard is pretty basic, already been done as use your own face.
Move shit on screen with your hands: See: Eye of judgement on PS3.
the rest: Pretty much just combinations of the above.
The only thing really 'fake' is the lack of delay between gestures and on screen movement which happens in video capture.

My issue isn't with the technology itself, it's with the way they're advertising it. I don't and won't believe half of the things that the video showed until they demo it for the press or the public. Kotaku actually mentioned an experience they had with Milo, and that still seems to be in extremely early stages, since Peter mentioned that part of the demo was being controlled by a guy on the side.

There's a new video up at Gametrailers:
http://www.gametrailers.com/video/e3-09-project-natal/50185

That video seems a lot more honest than the other one, and now I'm even more interested. Hopefully it will turn out well.

Your problem is thinking that is advertisement. It is not. And if you just stopped and thought about it for a second instead of jumping on wagon of hatred and ridicule you would realize that this is a thing on which Microsoft is working on, not a product which they already made and are ready to sell. This is clear as day even without even seeing the last message "Product vision..."
Furthermore you ridicule the tech. Scanning board? and using it in the game? Tech has been available to do that for years. what's the problem? webcam + software to analyze the image. easy.
Chaotix explained why what M$ is doing is not something which breaks laws of physics as many of you think (thank you Chaotix. that was very informative post. Up-rated)

OK, I understand it a little better now. After all, if they were ready to sell it they would've done something like announce a price point or release date for the device. And I'm not trying to sound like some mindless Sony or Nintendo fanboy; I just became very confused by the trailer they showed.

The 360 motion controller, as well as the Wiimote, just got blown out of the water by Sony's motion sensing controller. See the Sony E3 press conference for proof.
This is what the Wii should have been, and yet it's being done by Sony, the last bastion of harcore gaming. :D

I can't help but think that if this were anyone but Microsoft, then this would be the latest and greatest piece of tech. But no, it's Microsoft (not "M$" - grow up) so it must be impossible or will fail horrendously or will eat your children. I've seen this attitude on other sites that have talked about this "Natal" thing. By the way, am I the only who gets a picture of something surrounded by amniotic fluid when you hear the name? Yeah, I gotta stop hittin' that Microsoft (tm) (R) Crack Pipe (c) 1981, 2009.
Personally, I can't help but think it's going to fall into the "nice try... but..." category as these things often do. Especially if the price point is too high. But hey, if I'm wrong we get another push forward in gaming interface technology. If I'm right then we get another piece of crap to throw on top of our power glove, virtual boy, R.O.B, eyetoy, etc...

When you say eye toy, do you mean gameboy camera? Sony's Eye Toy has sold over 10.5 million which is hardly a failure by any stretch of the word.

Fair enough. It just seemed to come and go so quickly (in that I'd not heard much about it since the initial advertising blitz) that I figured it never really took off.

I've pretty much lost my interest forever regarding motion sensor gaming.
I will grieve for every one of my favorite game series that adapts it.
I've tried and finished quite a few games now and it never seemed to make my experience more enjoyable, just more hectic, tiresome and frustrating because of the lack of precision.
Its a fun concept for party games and whatever that you don't play for long periods of time but its rather annoying when its forced into long games and mainstream series with no alternate control scheme.

I've read this topic through, including a couple of re-reads, watched all the videos and I still don't really know what to say about this whole mocap thing.
Its interesting, its very clever, but is it inspiring? I personally don't feel a plethora of ideas explode in my head when I see a control system like this, its like having a tool box but without any building materials.
It reminds me of the Wii balance board, the device is synonymous with Wii Fit - will this live mocap be associated with only one type of game? I'm guessing the idea is to stop flailing and get more precise movements, but I really don't fancy having to get up out of chair at 3am when I want to give Ivy from Soul Calibur a jolly good kicking.
Plus I doubt they'll ever mocap your hot spicy boner
Sorry, I can't be sensible for too long.

I actually like the PS3 motion detecting system better... ultra precise and real-time, would actually be cool in swordfights and such (although making a good combat system based off that would be difficult). The bow and arrow demonstration they had with it was pretty cool... Plus I don't necessarily WANT to use my entire body playing games, not all games are meant to be a workout.