Note: this post is from 2006, outbound links may be broken.
dblue releases Glitch v1.3 beta (free!)
Glitch is a VST plugin effect that chops up your audio in real-time and applies a variety of effects which can either be chosen at random, manually sequenced, or a mixture of both. The sounds it generates range from quite subtle to extremely bizarre, depending on how much you tweak the controls.
If you’re into squarepusher type glitch sounds be sure to check this one out!