Update 10:58am PST:
A slew of new gesture and image capture features. Avatars are now created automatically from pictures of a user's face and clothing, and look incredibly accurate (at least from the on-screen demo). Capture is also said to work with objects, such as cars and teddy bears, automatically turning them into playable avatars.
Every Star Wars geek's dream is realized as the new game allows players to force push robots around as two Jedi nights storming an enemy base. The gesture controls slow down game play though, as awkward sword slashing and jumping takes more time than in real-life.
Update: Xbox has revealed a new voice-controlled TV experience, which uses Bing to curate TV and games from the spoken title and presents options in a sleek, Netflix-style horizontal line-up with large front-facing graphics. Xbox is also adding Youtube content and live TV, with global TV partnerships from France to Australia (more details to come).
Microsoft's presentation at the E3 gaming expo was scheduled early, but beating it out by mere moments was the software giant's own E3 page, where an unwitting web master had uploaded details on what MS will be showing. The results? A lot of interesting stuff, but no major game-changers: We won't be seeing the Xbox 720 (or whatever the 360's successor is going to be called) being teased anytime soon.
Instead we hear Xbox Live is getting a makeover, with some new features that'll include "voice search"--evidently a way for MS to streamline the way users interact with the service when using the handsfree Kinect controller. No more scrabbling on the sofa for the controller, then.
Kinect Sports Season 2 is revealed too, and much more importantly so are two new versions of Halo--the game that more or less kicked the original Xbox system into superstardom. Halo: Combat Evolved Anniversary has been teased before, but speculation is that the game "remastered for a new generation" could also include 3-D effects alongside its 21st century HD graphics makeover. And then there's Halo 4... "the news millions of Halo fans have waited for."
None of this hints at a new console anytime soon, which perhaps we could've expected, but none of it precludes a new console arriving some time in 2012. What the information does reveal is that Microsoft is a leaky ship, and perhaps its website controllers had better check up on their security protocols to ensure no hack attacks happen, like those that've befallen its gaming rivals Sony and Nintendo.