Microsoft's IllumiRoom Projector To Take Xbox 720 Beyond Your TV Screen
After a simple auto calibration, IllumiRoom can add “projected illusions” of basic and advanced lighting and color scenarios, snow and star fields, a radial wobble when you’re shooting guns, an 80s sci-fi-type grid, bouncing objects, select elements from the gaming environment, extensions of the actual gaming environment to give you a big screen feel, and more.
You can layer on multiple illusions in a single game, too, which is a sight to see. Fortunately, you can see the sights as it were, because Microsoft Research made a really cool video for us to see IllumiRoom in action.
The technology uses a Kinect for Windows camera and a projector to leverage the “appearance and geometry of the room” to create the illusions in real time without any need for graphical pre-processing.

IllumiRoom is clever, appeals to even casual users, and appears to be a relatively simple implementation and evolution of existing technology, which are all hallmarks of a terrific product. It just so happens to have the deep pockets of Microsoft backing it up, as well, which means that it’s more than likely we’ll see IllumiRoom become a Real Thing that will be available with the Xbox someday.