But don't expect Origami to challenge PSP or DS. The video shows one user in the middle of a frantic bout of Halo, but a source close to Microsoft has stated that this is the first in a series of touch-screen PDA style devices - it's not a portable Xbox.
From the video, Origami looks quite powerful, even if it is seriously bulky - it gives lost users directions, transfers images and functions as a very expensive remote control.
When we quizzed Microsoft about Origami, it told us that "Origami is a concept we've been working on with partners," before adding "the video seen ... is a year old and represents our initial exploration, including possible uses and scenarios".
Microsoft is rumoured to be making a clearer statement on Thursday 9 March, and we'll have a full update when the info breaks.