It's real alright because they were talking about it on tech tv during the E3 segment. I don't know about the article though I don't see this crushing the Wii. I personally own a machine and all this makes me think about is whether I also want to buy a 360 or PS3 (was leaning toward the later). Wii is a totally different market then 360 and PS3. They have targetted an audience that don't play video games on a regular, light gamers if you may, also the technology makes it a very interesting system to have as well.
But nonetheless I think I will have to wait before I buy anything to read up more about this project and what exactly do they plan on doing with it. Could be just another PS2 eye candy or 360 webcam no one really uses them and they were hyped big time.