Lenovo's Game Console "eBox".

Genovo has developed a game console, called eBox. The company has established a game console company called Beijing eedoo Technology Ltd., which will manage the development of an entertainment console eBox. It will be launch in China by the end of the year. The console was first developed internally by Lenovo.

Lenovo employees built the eBox with Microsoft Kinect-like ontrol scheme that will recognize shapes and movement without the need for a controller. They believes, they will be "the world's second company to produce a controller-free game console, behind only Microsoft.

Lenovo's decision to break into the motion-gaming space with its console isn't much of a surprise. After Nintendo and its Wii enjoyed such success in that space, both Sony and Microsoft announced motion-gaming peripherals--the PlayStation Move and Kinect, respectively--that are scheduled to hit store shelves later this year. It would only make sense that a new entrant into the market would attempt the same strategy.

Lenovo will go head-to-head with the big boys in the video game console market, looking to snatch away market share from the likes of Microsoft, Nintendo and Sony.

The device leverages a user interface and reads user gestures with a webcam.

EBox uses a camera to track player movement, but unlike Nintendo's Wii or Sony's Move system, eBox can plot movements and translate them into onscreen action without the need for a controller.

The company estimates up to 120 million urban families in China are potential buyers of the eBox.

At present, 16 global video game developers have signed contracts to provide content to Beijing eedoo.

Kinect is expected to go on sale in North America this November, with a base price of $149.99 per unit. eBox will also make its debut this November.