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McDonaldsGuy said:
Kinect was made for one reason: To get some of Nintendo's casual marketshare pie.

Exactly. Kinect may not replace a normal controller (or may be a voice control peripheral) but its main target has always been the wii-oriented casual crowd, and in this it has been more than successful. Even if this may have occurred at the expense of hardcore games. 

Personally I think the best motion controller (and what might happen next gen) would be a mix of kinect AND move style motion controller - i.e. a device that can switch from a hands-free control (like kinect) for certain body-using games such as dance,  to the move/wii wand based more accurate control for shooting and adventure type games. Since there are rumours of sony developing their own kinect-style system, maybe we will get to see this in action sometime. Hopefully. 



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