IGN: GDC 2007: Emotiv Systems Unveils Shocking Neural Interface Device
“Emotive’s technology is based upon a new manner of interpreting the electrical activity in the human brain via EEG that looks below the individually unique (and thus difficult to accurately analyze) outer cortex to deeper regions of the brain. Users wear an electrode studded headset that wirelessly interfaces with a receiver already no larger than a USB ram drive. In our closed door demo, Emotive displayed three aspects of how the technology will bring humans and technology much closer together.” - via tagenigma.com

Includes; facial recognition (without a camera), emotional status detection ( excited or calm), and 3D virtual environmental movement manipulation with your thoughts (push, pull, slide, rotate, lift, drop, and six other motions). Coming in 2008 for less than a PS3.

Check out this video ( 11:30 )
http://media.games.ign.com/articles/693/693580/vid_1950935.html