Microsoft were in buyout talks with Israeli company 3DV systems earlier this year. Now, a few months later, for the first time it's been officially announced that Microsoft owns the motion-sensing company.
So what does this actually mean? It's hard to tell. Logic points towards Microsoft's Project Natal motion-control camera having been built using technology pioneered by 3DV, but neither Microsoft nor 3DV will confirm this, Microsoft's Moshe Lichtman only saying "when there's something to tell, we'll do so."
It's also been rumoured that another Israeli company, Prime Sense, has been involved in the project.
Sounds to us like the deal was officially kept quiet until after E3, so as not to blow Natal's cover.
Microsoft confirms 3DV acquisition [Globes]