Kordesy and I skipped class at the Silverlight Artists in Residence program at Microsoft in Seattle today to seek out a Microsoft Surface and find out if they are real. Check out the video: DG.TV Microsoft Surface
Turns out they are real! The interaction is very smooth and natural on the sample applications (nothing too complicated), although we did notice a little bit of lag when we dragged things around quickly. However there is something really compelling about reaching out and manipulating stuff with your hands. I don't think we've even scratched the surface (no pun intended) of the new interaction paradigms we're going to have to come up with for devices like these.
Also while we were out and about in Redmond we grabbed an interview with Arturo Toledo, who organised the Artists in Residence program. Arturo gave us a sneak-preview of his presentation for MIX: DG.TV Arturo Toledo Thanks Arturo!