All was well at Microsoft’s media briefing this morning until the latter portion of the show when the artifical intelligence character, Milo, belonging to Mr. Peter Molyneux of Microsoft owned Lionhead Studios, appeared and subsequently baffled everyone with what exactly we were seeing.

What we know so far about this Milo character is that he is a deeply emotional being and one that requires the recently (as in the morning) announced “Project Natal” motion controller to make use of.

Molyneux, with the caveat of being a legend of hype, says Milo can recognize your facial structure and react in a number of ways to what he is seeing, experiencing, and becoming involved with.

Sound insane? It should because as of right now it makes little sense, but give this video a look, as it’s what we saw this morning, and either join in our confusion, or enlighten us in the comments below!

Peter Molyneux is a legendary hype master.‚  ‚ When he explains a new piece of content or a game entirely you really must apply critical thinking skills and say “well maybe that is as cool as he says, I’m not sure.”‚  Granted, the man created Fable, a game for all ages, but many of the features of both Fable and Fable 2 did not exist in all the grandeur he would have us believe in.

Fable 2 was an incredible success as was the first batch of DLC, “Knothole Island,” but what does Molyneux think about moving forward?

Speaking with Kotaku Molyneux came right out and said it:

“The next DLC comes out in the spring,” he said. “We’re in the spring now so don’t think months, think more like weeks. It’s called See the Future.”

“The first (DLC) was done very close to Fable II and the team was tired and we sort of pushed ourselves to get something out early for the fans,” he said. “This time we’ve taken a little bit more time on it, it’s a little bit more story driven. It answers some of the questions, if you’re a real fan of Fable, it answers some of those questions. It’s going to test you a little bit emotionally as well. But I think the real unique thing here is it starts to tease and hint at what it starting to happen in the world of Albion and what is happening in the future.”

And as for the rumor (certain truth) regarding Fable 3 Molyneux skirted the issue saying:

“If we were to take the franchise even further, going on from Fable II, I’m not announcing anything, but if you play See the Future you’re going to be getting a flaavor at what’s going to be happening, my ideal is what I would want to happen is something big.”

via Kotaku.