I think that when a game is released over here. They should properly translate the dialogue based on the ethnicity of the character speaking. That way, if there's a Japanese exchange student in the game, hey... we could probably learn some decent Japanese while playing a fun-ass game in the process.
I've given this a lot of thought lately actually. I've tried to learn other languages Japanese in particular. I own several language CDs and even took a Japanese class. But nothing sticks. I don't ever have any real-world situations to apply them to so these classes and CDs just become another chore. But I liked the little edu bits at the end of xxxholic. I think if you can use MODERN gaming as the source of language integration, language fluency could become the next big craze. I don't care if there may already be ONE thing out there that's LIKE this. It should frickin' be everywhere. Facebook, MMOs, console and handhelds and phone apps. Learning any language is always a lot easier when a level of fun is added. Imagine it being used while you're playing an RPG, Action, Racing, or Combat game.
Loose example: Imagine a combat engine... a game like BlazBlue or Guilty Gear or some kind of game where the character's special attacks are mentioned aloud. Imagine all these attacks are in some specific language and not just some flashy cool-sounding nonsense. Add an option to turn on subtitles and the game will display the name of the attack in the language's natural alphabet with it's most literal translation and it's intended translation placed underneath in smaller letters suitable for whatever region in which the game is being played (English for us). Things like that can work, I think.