The upcoming "Trading Faces" app for the Xbox 360 is more creepy than cool, but it's still a funny demonstration of what Microsoft's hands-free Kinect sensor can do. "Trading Faces" will be added as a downloadable Kinect Fun Labs program some time in the future. There's no release date just yet.
(This was shot on the fly at a Microsoft E3 party. The red is because of the venue lighting and my camera; not the app which shows people on TV as if they were being seen in a mirror.)