Doctors in 2002 pronounced Ethan Myers brain dead for life. Today he is at peer level in reading, walking and talking, and for much of the progress his parents credit a new frontier of video game therapy. (CNET News)
Video games are serving other noble uses like allowing young leukemia patients to do battle with the invasion of cancer cells, helping ADHD kids learn to focus, and helping to combat obesity in West Virginia schools, where they use the lively Dance Dance Revolution, a step-to-the-beat game, as part of the curriculum.
The Feb 2006 issue of Scientific American Mind has more info on how neuro-feedback works.