Bioshock, Resident Evil 5 and more go Atari 2600
Courtesy of Andy Baio at the illustrious Waxy.org, this fantastic gallery of Atari Modern Classics: modern generation games given the delicious Atari 2600 treatment. Any pixelated depiction of a Big Daddy brings a smile to the face, but I'm also tickled by the depiction of Resident Evil 5's Los Plagas as mocha-colored candy cane heads.
Atari Modern Classics [The Minus World via Waxy]

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they've taken a few liberties with what the 2600 could do graphically, and Atari boxes _never_ used touched up screenshots on the covers (like nintendo did) - but the results are awesome nonetheless.
The best thing about these covers is the crappy bitmap whale in the background. Totally cracked me up - I'm not sure why.
I think these are more the purvey of what we could Atari 5200 or 7800 versions of these games might look like. The 2600 just didn't really have the resources.
I agree with #1 and #3. For example, Portal on a 2600 would look less like this and more like this.
Good lord, lightboxing on middle and left clicks? Their web designer deserves a swift kick in the groin for crimes against usability.
Activision probably could've pulled it off, just to spite the bastards at Atari.