Hi Taz,
one of the reasons that Pixel and myself arrived independently at the arduino as a device to use is 1) its very well supported and not likely to disappear after a 6 month production run 2) porting from mega 128 to 256 to due is easy when updated devices are released 3) there is more than one source as the arduino is an open platform, the cheap chinese made copies (all legal!) seem to work as well as the official boards (i have both) 4) its cheap.
Wowter is correct however, the arduino only outputs 50ma (i think) and requires extra driver boards too - but then for a lot of stuff 500mA does not cut it any way - motors, led strips etc.
The arduino approach has proved the concept and is intended for 1) me to have fun coding!!! 2) support 200+ devices (200 per board - multiple boards already supported in cascade mode) which is easy with leds, e.g. under cab, flipper buttons, leds around the screen/playfield/topper etc 3) intelligent control e.g. set min and max pwm for individual devices, max on times to prevent heat/device burn out, silent mode with a click to disable sound e.g. motors/contacts at night etc etc i.e. its an intelligent build not just a dumb on/off (no offence to ledwiz!!) 4) open platform with a future so parts available for a long period of time.
The project is not not dead - indeed 95% of it is fitted to my cab now - but we need pixel back for the hardware and to motivate me to finish the software and look at direct output from VP to arduino without vbs in the way.
However at the end of the day, you pay your money and take your choices. The cost side of things doesn't really matter than much, having spent 100's to 1000's on the cab build, screens, PC etc then an extra few £/$ is not really relevant (IMO)!
The project is not dead just resting - pixel only works on it during the autumn/winter!
regards
Shifters