Thanks for the replies: in response to westaust55's comment about my objectives; when I wrote it, it was just curiosity, however, this changed today...
A friend has asked me to help them in a project they're working on - they need help with the electronics of a "Daft Punk Helmet":
http://uk.youtube.com/watch?v=NyBHb3gfr2Q
Yes a huge feet I know, an i doubt I will be able to recreate it exactly. I'm going to start, forgetting about the colour changes, just controlling an array of LEDs that size from 1 picaxe (Effectively a LCD display with LEDs, although it would be nice to put "pictures" up there aswell). If it wasn't for the cost, id go straight for the main picaxe giving serial outputs to a number of secondary picaxe's, which in turn light LEDs. This is why a cheaper chip that can do the job of the secondary chips would be great. Or even the signal goes from primary chip, to secondary picaxe's, and from there to another.
Now i've written it down, it seems even crazier. But a challenge is always fun. What would anyone say is the best solution to controlling a massive array of LEDs?
Thanks,