I saw this on BBC News Click and was really impressed. It's an effect called "time-lapse tilt shift photography" where everything is made to look smaller than it actually is.
As an update Mar 2011, I just watched Gulliver's Travels (2010) and it looks like the same effect for the intro credits :c)
This is "a day in the life of New York City".
More Information can be found at http://aerofilm.blogspot.com/2010/02/sandpit-short-film-by-aero-director-sam.html
Personally I can sit there watching it without sound.
Here's another video that shows how to build the camera:
Category: Graphic Design :: Article: 297
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