I wanted to design the smallest screen font that would actually be readable. My design assumes that screen pixels are horizontal striped as RGBRGB, as are most LCD screens these days.
My goal was to have something that is clearly readable, yet can fit an entire page of text onto a QVGA (320×240) screen (eg: an Apple iPod or T-Mobile SideKick).
In contrast, I've noticed that Microsoft's smallest screen fonts are unreadable, whereas their smallest readable screen fonts are way bigger than necessary.
To the right you can see what I've got so far: a QVGA screen in my font can comfortably fit the first 500 words of the American Declaration of Independence - about one page of text."