Microsoft's goals of making Surface an in-home, viable (and cheap) option in the next three years are surely still in place, but their brand new LightSpace isn't going to make that happen any time soon. Using the same "idea" as Surface, Microsoft's LightSpace removes the need for an expensive tablet, and puts all of the work on hanging projectors, and a 3D camera. The result is pretty impressive, even if we are already worried about the price Microsoft might tag onto a project like this.
LightSpace utilizes a series of projectors hanging above any particular table. Working with a 3D camera, which detects the relative position of items, which then communicates to the projectors above to project an interface onto the table. The result is similar to what you've already seen in Microsoft's Surface project. But, it gets better when you start incorporating new tables, surfaces, in which case you'll be able to drag any type of media that's already projected, and drag (or slide, whatever you prefer) it to the other surface.
As it should always be with any kind of new technology, the Research team was nice enough to showcase the new project in a video that reaches the 7 minute mark. While the technology doesn't look as sleek as we'd like it to, it's still new, so it's understandable that it still seems a little "rough around the edges." Of course, this is about the potential, and there's plenty there. Check out the video below.