Kinect is useful for SOME things
Kinect may suck for gaming, but it sure is a great piece of tech for everything else. Take for instance this 3D recreation that involves three Kinects, and an Oculus Rift. One of the cool takeaways from this demonstration is how brain seems to perceive the holgraphic avatar as real, and how you can cause a pretty trippy out of body experience.
Check out Doc-Ok for a really technical breakdown of the whole setup.