Confirmed: Mass Effect 3 to feature Kinect Controls
"The rumors were true, ME3 will indeed be Kinect-able. Fortunately, there will be no waggle though. The game implements the device's voice recognition in such a way that it allows you order squad mates around in combat. The Kinect is also used to dig through chat trees. From what we saw, the demo looked and worked fabulously, showcasing the responsiveness of the Kinect and the beauty of the game. The feature was shown off in the live demo at the MS Press conference."
