Pervasive micro-sensing and actuation may revolutionize the way in which we understand and manage complex physical systems: from airplane wings to complex ecosystems. The capabilities for detailed physical monitoring and manipulation offer enormous opportunities for almost every scientific discipline, and it will alter the feasible granularity of engineering. We identify opportunities and challenges for distributed signal processing in networks of these sensing elements and investigate some of the architectural challenges posed by systems that are massively distributed, physically-coupled, wirelessly networked, and energy limited.