'Virtual human' Milo comes out to play at TED in Oxford

Microsoft has shown off its "virtual human" that reacts to a person's emotions, body movements and voice. Milo, as he is known, is designed for use with the firm's hands-free Xbox 360 motion controller called Kinect.

The technology is the brainchild of veteran UK games designer Peter Molyneux.

"I want to introduce a new revolution in storytelling," he told the TED (Technology, Entertainment and Design) Global conference in Oxford. "Films, TV, even hallowed books, are just rubbish because they don't involve me," he said. "It's a sea of blandness."

Mr Molyneux said that he wanted to create a character "that seemed alive, that would look me in the eyes, and feel real."

Milo was first shown off in a demo at the E3 expo in 2009, but has not been seen since.

"There was a huge row online about that with people saying 'this can't be real'," Mr Molyneux said.

The live demonstration used Microsoft's soon-to-be released Kinect controller, which uses a series of sensors, cameras and microphones to interpret a player's intentions. The demo was conducted by an assistant, who showed Milo exploring a garden, learning to skim stones and finally confiding in him after being told off by his parents.

"We're changing the mind of Milo constantly," he said. "No two people's Milos can be the same - you are actually sculpting a human being. Some of the things you are doing will change the course of his life."