According to a Microsoft source, a voice-activated Xbox 360 peripheral codenamed 'Lips' will be announced on Tuesday at Gamerday 2008.

Little is known about what the 'Lips' device could be, but what is known is this is a different project than the rumoured Wiimote copycat accessory revealed earlier this year, unofficially known as Newton.

According to 8Bit Joystick, from whence the original rumour surfaced earlier yesterday, Lips is a codename for a piece of hardware that is going to have something to do with voice communications. Joystiq and NeoGAF have also broken word that a new Xbox 360 device of some kind will be shown Tuesday.

Visit Digital World for the latest digital audio, games and home-entertainment news and reviews