Above is a pic of the actual "Eyetoy". Notice the microphone!

I've linked to a Newsweek article in which they interview the original creator of the Eyetoy.

The "Eyetoy" will be called the "Playstation Eye" when it comes to the PS3. Check it out:

Geek Out: The Playstation Eye is Nearly Upon Us. Dr. Richard Marks Takes Us Behind the Scenes of its Birth.

I'm just now seeing this interview for the first time, plus the neato picture, so if its old to you, sorry about that - gimme a break