Part of a GameRadar interview with Shane Kim:

GR: Can you tell us anything about the rumoured motion controller that Microsoft may or may not be working on?

SK: Well, the stock answer is that we don’t comment on rumours and speculation. But I will say, look, we have a lot of research and development going on all over the place, in Live and in Hardware. And we have a ton of success in the accessory business – and that’s probably a story that doesn’t get told enough. From a commercial perspective and also in terms of critical acclaim.

We’re going to continue to look at new ways we can introduce different things – the third parties are doing this as well with the music controllers. So there’s opportunities for us there too. We’re an R and D company at heart.

GR: Going back to the motion controller rumour, it must be tempting to try and do something similar to capture some of that market – but wouldn’t it come across as a bit ‘me too’?

SK: Well, you have to be careful about doing the me too thing. But what’s interesting is that you have a lot of third parties that are trying to rush to the Wii phenomenon, but if you look at the data, the vast majority of software that has sold on Wii has come from Nintendo. So it’s not turned out to be a great third party eco-system.

So it could work if you had something that had a great third party eco-system. Having said that, our unique perspective is going to be online oriented for better or worse. In the same way that Sony is Blu-ray and Nintendo is the motion-control, our thing is online. And each of these has strengths and weaknesses in different markets of the world. Whatever we do has to take advantage of our unique capabilities.

GR: Which is why we thought it was weird when we heard the motion sensing rumours. Because if Microsoft suddenly came out with a motion sensor it would be last to the party – and SixAxis has hardly taken off that well…

SK: I agree with you. But I’ve never heard of a motion sensing controller… I don’t know what you are talking about…

Read Full Interview HERE