The Philips R & D team have been busy of late and found a way of weaving LED lights into fabric material, which they are calling photonic textiles. The special material is as soft as conventional fabric and can be used as bedding or even worn.

They currently have prototype pillow cases that can display scrolling SMS messages and our working on higher resolution models that can play various animations.

A novel use for it could be customisable T-Shirts playing constant animations, how annoying would that be :), hehe you could also make a T-Shirt that looks like an X-Ray machine.

This also could be a way to make an invisibility cloak, where it would basically show a picture of what is behind it. Hogwarts here we come.
You can find more info and images at Philips Research