Microsoft's Shane Kim

There are a few things I'll say to that. One is, that's what they say. They've said many things in the past and missed dates, so we'll see. Two is, we're going to launch when we feel like we have the entire program ready to go, including the experiences and support from third parties. It's not a lot of time between now and the spring, considering it was just unveiled. The third and most important thing is this has nothing to do with Nintendo and Sony. This has everything to do with unlocking the potential of the industry and addressing the many millions of people – the 60 per cent of households who don't have a videogame console at all. That's the real opportunity for us.

Our focus this E3 has been on breaking down barriers, those that prevent people from enjoying the vast wealth of everything that we have to offer on Xbox 360 and Xbox Live. We continue to add more entertainment, more value, more social networking connections to Xbox Live, yet we know the controller remains a barrier for people. That's what Project Natal is all about. If we'd just come out with something that looks and feels like the Nintendo Wiimote, I think you could have fairly criticised us and said it was derivative. That's not the path we wanted to go down. We could have done that, but we wanted to reinvent the industry and revolutionise home entertainment. That's what we will achieve with Project Natal.

I do think that Natal is going to create enhanced gaming experiences for core gamers, but it really is about the new frontiers.

Look at the games we demoed on stage. We don't have a game like Ricochet, and we certainly don't have a game like Paint Party, not at Microsoft Game Studios. Those are very different types of experiences and yet we can apply the same skills that have led us to be one of the leading publishers in the industry in terms of creating great quality entertainment to Natal.

A perfect example of that is Peter Molyneux, who speaks from himself, his history and his achievements. I've never seen Peter more excited and energised by anything like this since the initial Fable. And now with Natal and Milo, you get a sense of what he thinks he's capable of. And believe me, Peter wants to lead the way. He's going to apply all of his experience, and it's a great analogy for Microsoft Game Studios. All of those game skills can be applied now with a new canvas with Natal.

No, Kudo Tsunoda is the creative director, but Peter Molyneux is working on Milo and some other things. He's got his hands in a lot of other things Natal, but it's not just one person.

Yes, absolutely. The role of Microsoft Games Studios has always been to obviously be the first-party game team for Xbox 360 and lead the way, to showcase the platform. You can't rely on third-parties to do that. In the same way we led the way with high-definition graphics on Xbox 360 and Xbox Live functionality, we're going to do the same thing with Natal.