We first heard about A Different Game Company's Ghostwire in late 2008, when the Swedish developer brought home the top prize in Nokia's Mobile Games Innovation Challenge. The developer announced the title for the DSi earlier this year, and we saw footage of it in action soon after.

The game uses the DSi camera to overlay ghostly images over real-world locations, with the secondary camera used as a rear-view mirror, in case ghosts show up behind you. The title has a tremendous amount of potential, which Majesco recognizes.

"Ghostwire: Link to the Paranormal integrates cutting-edge technology with a unique augmented reality aesthetic to create a truly exciting piece of software specifically designed for Nintendo DSi™," said Gui Karyo, Executive Vice President of Operations, Majesco Entertainment. "We are thrilled to have such an innovative product in our line-up and look forward to revealing details about the experience as we approach next year's launch."

Ghostwire: Link to the Paranormal is currently aimed at a late 2010 release.

Sony's EyePet is the latest gee-whiz software product that uses a Sony console and a camera. On the PlayStation 2, Sony used the EyeToy to offer players mini-game compilations that had players waving their arms in front of their TV in order to virtually wash windows or chop vegetables. The PS2-EyeToy combo also produced a fitness game, called EyeToy Kinetic. These games preceded Wii games such as Wii Play and Wii Fit by several years, but they failed to catch on, be it because of their design, their technology, their marketing, or whatever.

With the launch of the PlayStation 3, Sony introduced an improved camera, the PlayStation Eye. Within a year, the company launched Eye of Judgment, a simple strategy game that had players placing cards on a mat beneath a downward-facing camera. On a connected TV, virtual monsters appeared to stand on those cards.

EyePet is the successor to all this. It works as shown in the videos and described in our E3 EyePet report. Players get the game and the camera, a TV and a PS3. The camera is pointed at a flat surface. At the event in New York this week where our EyePet videos were filmed, Sony had a massive coffee table set up upon which the Eyepet would roam. A Sony rep said that any flat surface would do, as long as it allowed color-contrast with the card that is used to manipulate the pet as well as with the players' hands. I was told that lighting wouldn't be an issue, but that's something better tested in our own homes. At the Sony event, at least, there didn't seem to be any fancy lights set up to make the game work. We were in a decently-lit top-floor loft and the game was running from the sunny afternoon to the darker early evening. (Watch Kotaku's EyePet videos.)

The EyePet pet is rendered to appear to scamper across the table. You can wave your hand at the pet to make it jump or tap on the table to draw its attention and make it come running. But a card that will come with the game is your main tool for activating various parts of the software. Laying it on the table causes a virtual menu to sprout, from which various activities can be selected. From there the card could become a trampoline for the pet. We turned it into a bubble blower, tapping the head of the virtually-rendered bubble-blower to blow bubbles. The pet jumped in the biggest bubble. He began to float away. Game choices included bowling, tennis, and others, many of which, I was told, include goals that unlock some 250-plus options for customizing the pet.

There was a grooming section I didn't check out. It looked like it would involve combing and showering the pet who was getting dirty and attracting virtual flies as we played.

Captured in one of our videos published earlier this week is the drawing system for the game. This involves drawing basic sketches of cars and planes and other objects comprised of basic shapes. You hold your sketch to the camera, and the pet then grabs a crayon and re-draws your sketch virtually. As you can see in the video, a drawing with the proper constituent parts will transform into 3D objects that combine into pet toys. So the pet winds up flying on the plane or driving the car. The Sony rep showing me the game said he used to do the car wrong, drawing a side-view of an automobile that would turn into a blob of an object that the pet would zoom around on. Doing it right means drawing the side view of a car frame and then two wheels. Players can pick the textures for any of the objects. So imagine making the car from wood or stone, for example.

One of the other things we showed in the video was the ability to give your pet a check-up. You hold the card up to the pet as if it's an X-ray scanner and wand over where the pet is virtually standing. This provides clues to its mood and its needs. Maybe it's sad or hungry.

I only messed around with the Eyepet for about 15 minutes, but every time I saw the game being played during my several-hour tour of Sony's line-up, I saw a crowd watching the thing. The pet was captivating, and it seemed like it could do a lot. While it seems more of a thing you tend to than a thing you play, the impression I got was that interacting with Eyepet could be a goals-based experience. If so, it may well have appeal not just for the virtual pet, Nintendogs crowd, but for challenge-loving gamers as well.

The game is set for holiday release and will be offered both as a standalone disc or with a bundled PlayStation Eye.

And for everyone making comparisons to the Xbox 360's Milo, they don't appear to be that similar. Milo, which I've also used, involves head-tracking and a virtual boy's reading of face and voice cues. I'm told that EyePet will support some use of the PlayStation Eye's microphone, but it doesn't sound like it will be a central feature.

The cleverly-titled ARhrrrr is a concept demonstration for an augmented reality mobile phone game that pits players armed with guns and Skittles bombs against an invading army of zombies, all superimposed over a real-world map. Through the magic of the NVIDIA Tegra GPU, the map springs to full 3D life when viewed through the phone's camera, allowing the player to circle the map in his helicopter, shooting zombies, saving humans, and using different colored Skittles as explosives.

It's yet another intriguing example of augmented reality gaming at work, though we must ask...who wants to play a game associated with Skittles?

ARhrrrr! [Georgia Tech's Augmented Reality Lab - Thanks Tiago!]

Ghostwire is a 'casual collection' game that uses your phone's camera to create a kind of Augmented Reality effect. You roam around the real world and use your phone to 'see' ghosts that you can then collect in a sort of Ghostbusters-meets-Pokémon affair. Some ghosts will set riddles, others will provide clues and have elaborate back stories that must be unraveled.

Swedish developer A Different Game receives €40,000 in prize money. The runners up were Rhythm/Action game Jadestone and conspiracy ARG Eclipse.

Scary ghost game wins Nokia innovation award [The Guardian]

Rather, he thought that there was fun to be had using the phones capabilities - such as the camera - to enhance and interact with the player's surroundings.

"It could be about making you more aware of your surroundings than you would have been without the game, rather than focusing on the game and ignoring your surroundings."

"I can imagine mobile platforms evolving in that way, in that they interact with the world around us in a way that changes our perceptions in a really interesting way," said Wright, "Games could increase our awareness of our immediate environment, rather than distract us from it."

Will Wright talks Spore for DS, iPhone and mobile [Pocket Gamer]

I don't know if it's a sustainable industry, but there's definitely money in it. There's many ways you can link gaming and interactive entertainment outside because portable devices are getting pretty powerful and so is the network. I can see it growing."

Like I don't already have a hard enough time not hitting geocachers who have wandered out into the middle of the street with my car. My insurance is going to go way up. Kim Phu

Want Drama? Enter Virtual Soap Opera [MSNBC]

Spending more time buying racehorses and model agencies than fine tuning their business strategy, Gizmondo crashed and burned like Fat Stefan in a Ferrari. But not all the ideas were terrible. In fact, this little prototype video of the unreleased Gizmondo game Catapults is pretty frickin' amazing. The game doesn't look terribly fun, but watch the Gizmondo superimpose three dimensional objects on a real space, appropriately adjusting the angle of their geometry with the angle of the mounted camera.

That is really frickin' amazing; makes me sad we'll never see the portable Halo title that was supposed to be driven by the camera. I always thought they'd just never be able to pull that off, but this prototype footage gives me newfound respect for the Gizmondo tech team. Florian Eckhardt