While Microsoft used their E3 press conference to show off games like Halo: Reach and Gears of War 3, the clear star of the show was Kinect. While few details about the launch of the device were shared, Colin Sebastian of Lazard Capital Markets thinks that Microsoft’s ambitions are very wide.

“With the Kinect motion sensor, games will initially include fitness, dance, sports and kart racing, suggesting that Microsoft is targeting the Wii audience,” writes Sebastian. “Microsoft is planning for a global release of Kinect in November (price point TBD), with 15 titles available at launch. We expect roughly 3M units of Kinect to ship worldwide in CY10, with Microsoft selling Kinect on its own or as part of a hardware bundle. As we previewed, Microsoft also announced the launch of a new slimmer form factor for the Xbox 360, which is 30 percent smaller than the original design and comes standard with a 250GB hard drive and built-in Wi-Fi for $299.”