Finally found a good RSS widget = Buzzbox. They have a full 4X4 widget and some decent update settings. You can choose multiple feeds for a widget and even enter your own. The only minor nitpick (which isn't really an issue) is you can't label/categorize feeds yourself. But it comes with some 500+ feeds organized into @15 categories. Seems to be fairly smart not duplicating topics, but you can also choose "all" from a feed or "top" (which filters articles from that feed based on popularity with other feeds)
I've got 4 screens running that 4x4 widget and it's great. Nice interface, too, when you click to read the article. Maybe still a bit rough around the edges but overall a great little widget.