The small images of Magento's (1.9.0.1.) built in new products widget are blurry. I am using the default rwd theme and it does not seem to happen to other widgets such as recently viewed products. It also displays on multiple rows instead of alongside each other.
Sorry I can't post pictures yet Thanks!
Allright I found a solution: I had to modify a line in new_grid.phtml in app/design/frontend/[rwd]/default/template/catalog/product/widget/new/content
Change the 85 to 210 in this line:
<img src="<?php echo $this->helper('catalog/image')->init($_product, 'small_image')->resize(210) ?>" alt="<?php echo $this->stripTags($_product->getName(), null, true) ?>" />