That's the output of my texture compressor running on an emulator, compared to the original. It also works on the hardware. The result is still rather blocky, but I have an idea of how to make it look better... hopefully not requiring a small cluster to do the calculations...
Anyway, this is the first non-trivial image compressor I've ever done. It's slow and the results are not that great yet, but I am feeling pretty good about it. According to my git logs, I started this last Tuesday evening. If I keep getting into these side projects, I'm never going to get any work done on that simple little game I was trying to write :P