Eurogamer has a story up citing Variety, apprently they have multiple sources telling them about a new controller for the PS3 that uses LEDs and a camera to get more accurate motion sensing, even the distance away from the TV.
http://www.eurogamer.net/articles/ps3-to-get-motion-sensing-controller
It smacks of desperation of Sony's part in my opinion - their attempts at hitting the casual market so far have been lukewarm (Singstar did well, but who remembers the Eye Toy now?) and it's obvious that shifting focus to Nintendo's market with improved technology is their new goal. I guess we'll just have to wait until E3 to find out.
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