Just happened across this press release today. Logitech is releasing face tracking software for some of their cameras. Instead of your head bouncing around in the video window this software will pan/tilt/zoom the camera so your face is always in the center. Probably meant for business telecommuting and conferences.
Could be fun/freaky too. Imagine it, some little video eyeball whirring and whistling as it swivels to follow your every move. Pop a couple of them inside a paper mache head, behind the eye sockets, and you're on your way to a digital friend. Tape photos of people's faces to the head and put the computer's speaker inside. As you video chat with your sweety a wobbly facsimile of her talks to you and seems to watch your every move.