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I've fiddled with midi and an Arduino before, but now I have integrated an LCD as well. Which makes the whole thing almost usable !
The Arduino makes everything really easy; it has tutorials about communicating with the LCD, there are forumposts where people explain how they hooked it up to midi. It really is just a matter of putting all the elements together.
Currently, the "Arduino Midi Sequencer" only plays a simple drumbeat (with adjustable BPM). I hope to make it a programmable sequencer by adding some buttons and interfacing with some permanent storage. If that doesn't work out, I'll just make it a pre-programmed drum sequencer, which can lay down the groove while I practice guitar and/or bass :)