Automated Conveyor System Using 8051

Hello everyone! I am in the beginning planning phases of a project I am going to be building, so I should be here in the community for a while!

My project is going to be 8051 based (not sure of the exact model yet as I'm in the very early stages). It's been a couple years since I've even looked at microcontroller programming so I'm pretty rusty but I'm confident I'll be able to get back into it.

My plan is create using the 8051 an automated conveyor system very similar to the one showed in this video:
YouTube - Automated Conveyor Systems, Inc. Product Model: HSS - High Speed Sorter

Here is my rough sketch of what I propose:
http://static.electro-tech-online.com/imgcache/985-conveyersystemplan.png

I will load in a random order two different colors of items to send down the conveyer, using the IR sensor it will determine the color, color 1 goes straight while color 2 gets diverted. It will keep track of the total numbers for item 1 and item 2 and display the total for each color on the LCD.

That's it for now, but if I'm able to complete this part I would like to continue on with the project after they're separated to emulate further industrial automation along the line.

My question is basically, can this project be completed using only one 8051 chip (I've forgotten the input/output limitations). If it is capable on one chip, how many more input/outputs could I add? (maybe adding a third color that will be kicked off into a discard bin using a plunger like in a doorbell)??

Any input would be much appreciated!!

you need a color sensor to track the color IR cannot track colors.

what kind of input output you have? that will only decide whether or not 8051 is enough or not.

number of IOs are dependent upon number of IOs. and a 40 PIC 8051 has normally 32 IO pins.

you need to be more clear on color part and type of IO you are going to deal with, so i can give more inputs to you.