New rumours peg the Kinect 2 as having motion sensors so accurate they can read lips.

The upgraded peripheral will, according to Eurogamer's sources, be able to work out players' emotions by tracking the pitch and volume of their voices, as well as reading their facial expressions, although it's likely only to work with those who wear their hearts on their sleeves.

Read my lips

The improved motion sensors will be joined by voice recognition and a higher-resolutions charge-coupled device that can send more information to the Xbox console from the Kinect than the existing version.

The source told Eurogamer, "It can be cabled straight through on any number of technologies that just take phenomenally high res data straight to the main processor and straight to the main RAM and ask, 'What do you want to do with it?'"

The Kinect 2 is expected to be bundled with future Xbox consoles, presumably beginning with the Xbox 720 – possibly codenamed Xbox Loop.

There's been an increase in the number of rumours relating to the next gen Xbox over the past weeks, with some sources claiming we'll see an early iteration of the console at CES 2012.

Not one to let a silly little thing like a lack of soothsaying ability stop us from speculating about what a future console will entail, here's our wishlist of what we'd like to see in the next Xbox:

From Eurogamer