SAN FRANCISCO, CA — The annual Game Developers Conference never fails to surprise and delight, and this year’s was no exception. Among the whiz-bang products on display: a new device that could make truly immersive virtual reality… well, reality.Developed by startup Emotiv systems and due out this year, the helmet-like device lets players control games with their thoughts. It’s just spooky enough and just futuristic enough that it reportedly elicited unprecedented attention at a confab known for generating unbelievable attention.

The Emotiv interface reads brain activity via receptors judiciously placed along its inner surface. Related software helps users “teach” the gadget how to associate thought patterns with commands. The blog Kotaku, which got an early look at the device, said it allowed users to push or pull objects by willing them to move and scare away other characters with a grimace.

Imagine that in Second Life or one of the adult-centric virtual communities online. The possibilities are endless.

The device meshes perfectly with a trend within the gaming industry to make products more intuitive. Thank Nintendo’s wildly popular Wii console for that. Not only did Wii help transform gaming into a world-class hobby across age groups, but also whet consumers’ appetites for more immersive, whole-body experiences that tie real and virtual experiences together. Wii’s popularity continues to make it scarce on store shelves.

Sony hopes to challenge Wii’s dominance with the inclusion of Blu-ray technology in its PlayStation 3. Because the PS3 will play high-definition Blu-ray discs, Sony hopes this week’s announcement that Blu-ray has won the “next-generation format war” will spur sales of the device to non-gamers who want to use it as a multipurpose television accessory.

Online games are not to be ignored, either. During the conference, Microsoft announced its plan to launch a service that will facilitate the development and distribution of games via the Web instead of on physical media. Nintendo may beat Redmond to the punch, as it plans to launch on March 12th a similar service for Wii-compatible titles.