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ultraslick said:

The original prototype they had for the break-apart controller is better than the idea of holding the Dualshock in one hand and the wand in the other.

I find it interesting that this prototype looks quite similar to the wand, as it has the big ball at the end as well.

People should know by now that the light ball at the end of the controler is just like a dot from a mo-cap costume. The camera tracks it to determine the position of the motion controller and the ball changes colour so that the camera can track multiple players simultaneously, or determine the function of each wand (like the archery demo at E3).