Recently untethered from the Xbox, independent developers have been making some really awesome pieces of software with the Kinect. This project is a perfect example of what's possible when anyone can start writing code for new hardware.
These guys used the OpenKinect library and some Python code to make a virtual keyboard they can place on any surface. The Kinect is accurate enough to allow them to play on a small space on their desk, but also allows them to scale it up to a whole room and get their Tom Hanks on.
[via Kinect Hacks]