Medgadget - Check out the OV6930, a 1.8 x 1.8 mm image sensor from Santa Clara, CA based OmniVision that you'll soon be finding in endoscopes, laparoscopes, and other minimally invasive instruments.
Engadget writes: "Well, Samsung's had a nice one-month run, but it looks like there's a new company to claim the title of world's smallest 1080p camera -- OmniVision's just announced an in-bezel solution of its own with a z-height a full one millimeter smaller (3.5 mm compared to Samsung's 4.5 mm)".