Robotized elephant's trunk
Senior mechanical engineering students at the Rice University in Houston have constructed a robotic elephant's trunk (non-NXT, yet). It features 16 small links that offer 32 degrees of freedom in all.
Watch the nice (Real Player) video here.
This could be done with the NXT also, I think - but you'd need a lot of motors...
I guess every serious NXT builder can do with some look beyond the own nose into the "rest" of the robotics community for inspiration now and then.
By the way, 98% of this blog's posts are concerned with NXT.