The demo starts with the breakout style game shown at E3. Control looks a little laggy, and there’s definitely a bit of a learning curve. Kudo could play just fine, but both Jimmy Fallon and John Krasinski whiffed their first swing at the ball. One of the first things Fallon noticed when he stepped up to play was his hair, which changed from Tsunoda’s shoulder-length mop. Pretty cool, even if his exclamation sounded more than a little scripted.

The second demo showed off Burnout: Paradise, a game Microsoft has adapted to Natal just to showcase the precise control capability of their new peripheral. As you’d expect, Kudo took off without a hitch and flew through the streets. Fallon, on the other hand, maintained reasonable control for all of four and a half seconds before blasting into walls. All four people for the demo jumped in and out of the “driver’s seat” fairly smoothly, though the Natal did take a moment to recognize foot placement for putting the pedal to the floor.

So what of the red suits? It’s hard to say whether everyone threw on the Beastie Boy jumpsuits as a theatrical gimmick or because it made them that much easier for Natal to read. My guess would be the second. No one wants to demo the hottest news in the gaming world just to watch it flop live.

In any case, this is the first we’ve really seen Natal debuted by “consumers,” and it’s at least good to see that it works, even if the situation was constructed on Microsoft’s terms. Hopefully as development continues we’ll get to see more elaborate demonstrations in less controlled environments.

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Project Natal is a sensor bar, much like that of the Wii. Instead of picking up the signal of the infrared camera in the controller, though, Natal senses your movement. All of it. The bar is equipped with a couple 3D cameras and a microphone, allowing for voice recognition. I’m sure your imagination is already sprinting towards Dance Dance Revolution or punching Mike Tyson without worrying about throwing a controller. Watch the video below – it says it all.

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