Last week we reported a rumor that spread from MTV that Microsoft is working on a Wiimote like controller for the Xbox 360. 8bitJoystick has added some more weight to this rumor by revealing the Microsoft internal project name for the new motion controller. It is supposedly Newton.

Apparently Microsoft licensed the technology from Gyration. Nintendo uses also Gyration's technology.

Newton would hit the market this holiday shopping season.

Microsoft touts as one of the benefits of the Xbox 360 is casual gaming. They just do not have the controllers for it. I just saw this week a report about 80 year old seniors playing the Wii for the first time. After one hour they are so engaged in Wii bowling and Wii boxing, which would not be possible with normal button controllers.
More details on 8BitJoustick.