I think that pretty much sums up why these motion control peripherals are probably going to ultimately fail to gain a foothold. They keep coming up with these gimmicky new control interfaces without having a clear idea as to how they're supposed to relate to the software. I mean game controllers weren't just some lucky fluke. Several decades of trial and error have gone into designing a device that directly links a brain to moving images on a screen by way of the thumbs.
I happen to think that the technology behind Kinect has a lot of potential, I'm just not sure the home console market is the best place for it.