This is LilyPad Arduino consisting of an ATmega328 with the Arduino bootloader and a minimum number of external components to keep it as small (and as simple) as possible. Board will run from 2V to 5V.
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This version of the LilyPad now uses the new ATmega328 at 8MHz. Arduino 0016 supports the Arduino Pro Mini 328/8MHz. Use this setting when using this new LilyPad 328.
LilyPad is a wearable e-textile technology developed by Leah Buechley and cooperatively designed by Leah and SparkFun. Each LilyPad was creatively designed to have large connecting pads to allow them to be sewn into clothing. Various input, output, power, and sensor boards are available. They're even washable!