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A lot of the speculation surrounding Project Natal - Microsoft’s new gadget for the Xbox360 console - has been laid to rest as a result of a grand unveiling by the technology giant.

Kinect is a motion control sensing video camera that sits underneath the TV. In this game’s console , characters are controlled by performing actions in a way similar to the Nintendo Wii. Given the number of accidents involving wayward Wii controllers breaking TVs, windows and ornaments, it’s probably best to take a close look at your home and contents insurance policy to see if it covers any accidental damage to your home as a result of playing a game. If not, it might be time to update your home insurance cover.

Kinect was shown off during a celebrity filled affair, which featured a performance by the Cirque du Soleil. Several game demonstrations were made, along with Video Chat, an application that allows you to link up with up to four people and talk to them face to face and share photographs.

Among the game demonstrations on offer were Kinect Sports. Beach volleyball is available to play over Xbox Live, and the game itself is broken down into individual instances of interaction, and these are strung together to make the game. It was only able to accommodate one player at a time, but demonstrations of mining cart and river rafting games allowed two people to play simultaneously, and consisted of jumping and ducking your way around an obstacle course whilst collecting tokens on your way.

The next demonstration was one everyone had been hoping for – a new Star Wars game. Playing a Jedi, it involved taking on Stormtroopers, deflecting laser bolts, and making use of Force powers before duelling with bad guy Darth Vader. Some reported the demo as seemingly heavily scripted, but the light sabre battle being worth the wait.

Other demos included a yoga game, which had an element of Tai Chi, and a baby tiger simulator. Through motion detection, you can scratch your tiger cub’s ears, tickle its tummy and teach it tricks such as playing dead.

There’s no word on a release date or price, but this is expected from Microsoft soon.