Microsoft’s Chief Executive, Steve Ballmer, announced Avatar Kinect for Xbox 360 In his keynote address at the Consumer Electronics Show (CES 2011) in Vegas.

Avatar Kinect uses Kinect’s camera and sensor to bring a player’s avatar to life. With Avatar Kinect, a player can invite up to seven friends to join them in one of 15 imaginative virtual environments, including a stage or a tailgate party.

Ballmer also announced that they managed to sell 8 million Kinect units in just 60 days since launch. Currently it is available to Xbox LIVE Gold members only, Avatar Kinect will be available as part of a new Xbox Dashboard update in Spring 2011, along with Netflix and Hulu Plus with Kinect support.