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nightsurge said:
Eye tracking would track in much finer detail, and wouldn't require you to look off screen because the center would constantly be moving to the location of your eye's focus.

I just don't see this working, especially given the EyeToy's terrible accuracy dealing with colors and light as it is.

@Jaaau!
The EyeToy doesn't use Infrared technology as far as I knew. It is merely a simple 2D tracking camera with a microphone. The only way it can even track 3D space is by guessing that a "bigger" object in relative to it's location means it is moving closer, which is true, but with very weak color detection and lighting needing to be perfect, I don't see it working all that well. That's why Sony Motion REQUIRES those light balls on the end because without those, it couldn't track the things worth spit.

To be honest I don't know if the pseye is able to do tracking like track ir does from the technology side.  You say it can't and PD says they will track your head using the pseye.  Time will tell. :)