There are hundreds of cell phones and other handheld devices with two inch screens that theoretically can browse the web. It’s pretty pointless; the screens are too small and the pages fill in slowly and you can’t see more than a fraction of the page.
Microsoft’s upcoming product Deepfish might solve those problems in an interesting way. It takes a snapshot of the web page and presents the image of the entire page on the handheld screen, then makes it easy to zoom in to a portion of the screen. You’re not seeing the real screen but rather an optimized image of the screen, so everything appears very quickly. There are a lot of hard problems to solve with online video and animated advertisements and the like, but the concept makes a lot of sense. Here’s the developers’ blog with more information, and here’s a video demonstration of how it works.