The Financial Times have this week revealed that Nintendo rejected the camera-based technology for the Wii.
The Nintendo president Satoru Iwata has said that the company tried to develop games controlled by camera-based sensors but received better results using accelerometers eventually utilized in the Wii hardware.
As we saw at the E3 Conference earlier this week, Microsoft and Sony are both using camera technology to track gesture and movement-based controls in a three-dimensional space.
The Xbox 360's 'Project Natal' can perform full three-dimensional motion tracking and can scan items into the system. Whilst Sony's new motion controller is a lot like the Nintendo Wii's.