OK, I am playing around now. I've thought of a new MIDI gizmo to add in - a cross between a real-time sampler, sequencer and arpeggiator. I am also thinking it will be a MIDI master clock as well. I am using one of my boards from the Hakked! soldering iron, with ATMega328 processor and the flourescent display interface. I added a small daughter board to accept a MIDI interface (the five pin DIN style, not a USB one) and to wire the rotary encoder to.
Works so far ..