Yesterday over at GamePolitics.com
they reported on a story about MIT developing a virtual glove set up. That is way cheaper than the prospected cost of Microsofts "Project Natal" at around $200 US.
While Microsoft’s Project Natal Xbox 360 add-on has been rumored to have a price tag of around $200, MIT researchers have created a gesture-based computer interface that requires only a cheap pair of colored Lycra gloves (in addition to a webcam).
Billed as low-latency, Grad student Robert Wang, from MIT’s Computer Science and Artificial Intelligence Laboratory sees the most “obvious application” for the invention as videogames.
The article includes a short 55 second video clip on what the glove looks like and a software application for the glove & webcam.