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justinian said:

My first prediction...kind of.

Sony will release the PS Eye 2. It will have an on board processor and obviously still be capable of using current PS Eye software.

All this stuff they are doing now is just the build up to it.

Sony will negate natal as being a "x360 only" way of playing games.

Nope.  Not going to happen, bub.  They spend all this money and time making prototypes for the current PSEye tech that many people have, why would they change it, release a new PSEye and abandon the small user base they already have built up for the PS Eye?

Also, this isn't facial recognition, it's head tracking.  It also needs a lot of work because the glitches with the eyes, ears, and sometimes the placement was a bit off.