Sunnyvale, Calif. - GestureTek, a developer of gesture-recognition technology used in camera phones for navigation and gaming applications, announced on Wednesday that it has received a minority investment from Spanish telco Telefonica.

The companies will also work together to further develop and commercialize GestureTek's applications, for both mobile and other platforms.

Sunnyvale, Calif.-based GestureTek's EyeMobile software uses a mobile phone's camera to recognize and respond to hand and body movements, allowing users to navigate menus and play games by tilting or moving their phones.

The company recently launched its EyeMobile engine on several NTT DoCoMo FOMA handsets, and also received an investment from the Japanese wireless carrier's venture capital arm.

GestureTek's technology also powers the EyeToy USB camera accessory for Sony's PlayStation consoles.

The new investment from Telefonica will be used to finance business expansion and market growth.

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