I just installed today's ubuntu saucy ISO [ saucy-desktop-amd64.iso 07-Oct-2013 07:48], which still had the "color rainbow" on the launcher and panels.
After it was installed I ran all current updates which included mesa. Now everything is fixed.
This also fixed gnome saucy which had some unusual display behaviors as well.
I just installed today's ubuntu saucy ISO [ saucy-desktop- amd64.iso 07-Oct-2013 07:48], which still had the "color rainbow" on the launcher and panels.
After it was installed I ran all current updates which included mesa. Now everything is fixed.
This also fixed gnome saucy which had some unusual display behaviors as well.