I think the technology is pretty cool, but I'm just not sold on it yet when it comes to playing other than just mini-game type video games. The breakout demonstration looked rather awkward (in a flailing around kind of way) and I really hope that the people in the trailer were just overacting.

MS haters are worried.
How can any gamer not be excited about this new technology?
It's awesome - can't wait for it to come out.
package it with a game for $100 please.

Technology is nothing without compatible use. How do you play an adventure game with this? Or a racing game? Or a shooter?

Edit: BTW, before you start saying I'm an hater, I'm a happy X360 user.

I'm sure MS invested a lot of money on this for a good reason. 

Hard to tell how this will be used with a game, but that's what makes it so exciting. 

Ubisoft has a camera coming to the Wii with a game this holiday season.

Natal not out until 2010 at the earliest.  No actual games seen in the conference.

Ouch.

Are you comparing??? O_O

Ubi is only for casual. They said it themselves. The camera is crappy for sure. It doesn't paint elephants... and doesn't have Molineaux announcing a... kid... talking... receiving drawings.... uhhhhh....

It looks interesting, but I'm afraid it won't work past casual games and limited projects (ie. the "Milo" tech demo).

I just don't see how you could play an FPS game (especially competitively), nor how one is supposed to move in a 3D space. And where are the 'pause' and 'guide' buttons located at on my body?
There is also the significant issue of living/bed room space. The video they featured had a rather large living room and I speculate that very few individuals will also have the same. I just don't see how flailing my body around will be plausible in my rather small room.

If anything, this technology seems like it would be more beneficial when in conjuction with a more traditional controller - especially the rather impressive voice recognition.

This is the type of thing that the japanese LOVE. Expect big things when Natal comes out. It's amazing how all of this technology goes towards video games!

hopefully it doesnt fail. I want this to become standard next generation.

I think that it will be a big thing, if it launches with the 720. Probably too late for it this gen.