The game will let users play through the Dragon Ball Z story from a first-person perspective, engaging in classic fights and events using only the Kinect sensor.
It will recognise over 100 moves and gestures from the series, including the iconic Kamehameha attack.
Over 50 playable characters will be available, including an entirely new character for the game. Characters and additional power ups can be unlocked by holding up special QR codes for the Kinect sensor.
"There's going to be no better feeling in the world for fans of the Dragon Ball Z series than standing in front of their screens and unleashing their own fists and raging blasts upon enemies with this game," said Namco Bandai's Carlson Choi.
"The Kinect sensor has truly enabled the development team to finally realise the dreams of millions of fans of both the classic games and the timeless original anime. This game will truly represent the next generation of interactive entertainment in the Dragon Ball Z universe."
Dragon Ball Z for Kinect will be available on Xbox 360 in October 2012.