The new DualShock 4 controller on the PS4 will work with a new and improved PlayStation Eye camera. The light strip on the controller will work with the stereo cameras on the PlayStation Eye to position the controller in 3D space, just like how the PlayStation Move works with the current PlayStation Eye, only the PS4 Eye will be much more accurate thanks to the dual cameras.
The PS4 Eye is smaller in height, but longer in width, almost mimicking the Kinect. You’ll be able to tilt the camera in place, thanks to the pivot built into the stand. The photos below suggest the PS4 Eye can easily be mounted on top of modern flat-screen televisions, and presumably on your TV stand too.