The best breakout game ever in my opinion is the PC/Apple cd-rom game Bolo by dongleware.
It includes all the physics (rubberbands, magnets, friction, gravity, etc. etc.) similar to their famous Oxyd games.
And it allows you to move the bat freely around the screen. This adds a whole new dimension to breakout, and it should have never been the same afterwards. But somehow nobody noticed this evolution, and up till to day, all the breakout games still fix the bat at the bottom.
It is rare, but there is a yahoo group about it
and there is even a freeware level editor for it
There is also a hi-res monochrome Bolo game for the Atari St which was the predecessor to the above pc game.