I've examined the .ico files that some newer games use, and the largest image is usually a 256x256 32-bit PNG image. It's not made from a PNG image, it's an actual PNG inside the .ico file.
I've tried making my own icon in this format by pasting a 256x256 image into the icon editor in Visual Studio 2008, and it always ends up as BMP format, making the icon itself over 200KB!
I've also tried overwriting the images in these icons, and found that VS2008 won't let you paste over the PNG variant.
Does anybody know what editor was used to create icons with this internal format? I've created a nice 256x256 icon for KMQ2, but I don't want to bloat the .exe size by 200KB.