We've only seen few videos of
Project Natal in action but not with anything "real". Here's something though that does show the camera working with a current piece of software. What you see, albeit a little blurry, is suppose to be someone playing
Half-Life 2 using
Natal. As you can see, he's using hand gestures to move the guy around and interact with the items. Pretty cool and good sign of things to come I think.
Thanks
GossipGamer.