What we need in today’s handhelds is LESS resolution. Take a look at the video after the break to see the exciting action that [BrunoIP's] 4×4 LED matrix handheld game delivers. The device is made up of 16 bi-color LEDs, four buttons, and a PIC 16F628. There’s no schematic yet but it looks like there’s no need for shift registers, just some transistors to handle the current load for the rows of each color. We’ve seen a 64-pixel handheld that plays Super Mario Brothers, but this portable brings a top scrolling racing game with just 25% of that display size.

http://hackaday.com/2010/07/11/16-pi...ndheld-gaming/