Each Xbox unit will come with a more enhanced version of the current Kinect. The new version of Kinect needs to be plugged in for the console to properly work. This new Kinect will apparently have the power to track up to six people simultaneously. Furthermore, it will also be able to track smaller movements such as hands and fingers, along with facial recognition and expressions.
The rumors about the new Kinect suggests that it will be integrated deeper into the hardware, and possibly the games themselves. As if that’s not all, the Xbox 720, codenamed Durango, will also be able to have at least two games running at the same time.
It would seem it will take after various mobile games where you can close the application and still return to where you left off.
Lastly, the rumors are stating that Durango will come with 500GB internal hard drive space. Full disc games will need to be installed onto the hard drive during its first boot up, however, this can be done while actually playing the game.