I’ve now added the Gamma Lookup Table that I came across in one of the LPD8806 examples, which seems to do a better job of converting 8bit RGB values to 7bit RGB due to the way our eyes work!
Previously I was just bit shifting, but the Gamma lookup helps produce an image that looks more comparable to the input image.
The image produced by bitshifting seemed to lack a little contrast and seemed too bright.
I’ve uploaded a picture to flickr produced with the new code so you can compare.
New code is now here:http://pastebin.com/NbgLWdNF