In an interview released earlier today, Microsoft’s President of Entertainment & Devices Division Robbie Bach revealed that the motion-control camera Project Natal will be available during the holiday season later this year. Furthermore, he went on to reveal a new addition to the Xbox Live Arcade, known as the Game Room.

In line with the original concept for which the Xbox Live Arcade was designed, Game Room will allow players to use their Avatars to navigate an online environment, somewhat similar in concept to the Home software available on the Playstation 3, in which they can play classic arcade games. Bach stated that “[t]here’s a generation of people […] who grew up with a set of games like Centipede. […] Game Room is the idea of bringing that back to the market, and bringing that to a very broad audience.” The Game Room will be available for both the Xbox 360 and PC and is being developed by Krome Studios.

The Game Room will allow players to purchase games for prices ranging between 240 and 400 Microsoft, which equals roughly $3 to $5. Players will also be able to play a one-off game for 40 points, roughly 50 cents. Games purchased on the Xbox 360 version of the Game Room will also be playable on the PC, and vice versa.

A trailer for the service can be found after the jump.





In case the video is not available, it can also be found here.