1. A system for measuring movement of a target for use by a video game or virtual interactive computer application comprising: a camera having a light receiving lens and an image sensor for converting the light received through the light receiving lens to two-dimensional image data; at least one illumination source associated with the camera, which emits light directed towards a target of interest within a limited three dimensional space, wherein the at least one illumination source comprises a parabolic light emitting diode (LED) including: a convex parabolic model; a concave parabolic reflector adjacent to the convex parabolic model; an LED die positioned proximate to the parabolic reflector; and first and second legs electrically coupled to the LED die; and processing electronics having a processor coupled to the image sensor that generates a digital representation of the target of interest, the processor further configured to: measure the time of flight of the light emitted by the illumination source to measure the distance to the target of interest; read the two-dimensional image data from the image sensor of the camera; and combine the time of flight measurement information with the two-dimensional image data obtained by the image sensor of the camera to generate a three dimensional information with regard to the target of interest.