As already mentioned one of the projects that most appealed to us at the Universität der Künste Berlin Rundgang 2011 was Scolyt from Marco Merkel.
The modern world being what its is - Marco's iPad presentation is available on vimeo.
Because it explains everything much better than we ever could, we post it here. And recommend it heartily.
(From about 1 min 30 onwards you can see the technique(s) employed by Marco)