A company called Rambus has developed a new technology for improving dynamic range in a sensor. They are marketing it for mobile phones sa a way to improve performance, but UI certainly see the applications for larger sensors like DSLRs.
Every sensor has a limit on what it can record or see in dynamic range. The is very apparent in smaller sensors like found in cell phones. It's called a saturation level. Go beyond the saturation level, and you see blown out highlights and deep dark shadows.
Binary Pixel imaging works by monitoring the saturation level. When it nears the threshold for what can be captured, it resets and starts the exposure all over from scratch. This greatly increases dynamic range.
Watch the video below for a better showing of the possibility. It was recorded using a sensor that was only 125X125 pixels.