Just did fresh install using Jaunty Alpha 4 using ext4.
It tried to use 1152x864 on my 1024x768 screen.  I went back to live cd mode and reduced resolution.  Every thing went fine from there.  First boot was in 1152x864 using radeon.  Edited xorg.conf to get virtual size up for second screen.

mur@ubuntu2:~$ xrandr --output VGA-0 --mode 1024x768
mur@ubuntu2:~$ xrandr --output DVI-0 --mode 1152x864
mur@ubuntu2:~$ xrandr --output DVI-0 --right-of VGA-0
mur@ubuntu2:~$ xrandr -q
Screen 0: minimum 320 x 200, current 2176 x 864, maximum 2704 x 1050
VGA-0 connected 1024x768+0+0 (normal left inverted right x axis y axis) 0mm x 0mm
   1152x864       60.0 +   60.0  
   1360x768       59.8  
   1024x768       60.0*    59.9  
   800x600        60.3  
   640x480        59.9  
HDMI-0 disconnected (normal left inverted right x axis y axis)
DVI-0 connected 1152x864+1024+0 (normal left inverted right x axis y axis) 0mm x 0mm
   1152x864       60.0*+   60.0  
   1360x768       59.8  
   1024x768       60.0     59.9  
   800x600        60.3  
   640x480        59.9  

Success!!!!!
> 
> From: Bryce Harrington <email address hidden>
> Date: 2009/01/29 Thu AM 05:07:48 CST
> To: <email address hidden>
> Subject: [Bug 311748] Re: [HD3470 + HD3200] Dual cards prevents X from
> 	starting / black screen
> 
> radeontool in Jaunty* can be used to assist in debugging this issue.
> After installing it, you run it like this:
> 
>     radeontool regmatch '*' > regdump_good.txt
>     radeontool regmatch '*' > regdump_broke.txt
> 
> Run it two times.  Once when you have a working screen (for any driver),
> and once in the broken case (either from the tty console or logged into
> the sick box remotely).  Attach both of those to this bug report, and we
> can then forward this issue upstream.  Thanks ahead of time!
> 
> For more info see https://wiki.ubuntu.com/X/Troubleshooting/BlankScreen
> 
> [* Note:  radeontool is available in earlier versions of Ubuntu but is
> too old; if you need to run it on an older version of Ubuntu, you can
> obtain and build it from the upstream git tree at
> http://cgit.freedesktop.org/~airlied/radeontool/]
> 
> -- 
> [HD3470 + HD3200] Dual cards prevents X from starting / black screen
> https://bugs.launchpad.net/bugs/311748
> You received this bug notification because you are a direct subscriber
> of a duplicate bug.
> 
> Status in X.org XServer - ATI gfx chipset driver: Confirmed
> Status in ?xserver-xorg-video-ati? source package in Ubuntu: Confirmed
> Status in ?xserver-xorg-video-radeonhd? source package in Ubuntu: Confirmed
> 
> Bug description:
> The specs:
> Asus x56tr Notebook
> AMD TURION X2 64 
> ATI 3200 & ATI HD3470
> RAM 4GB
> 
> I can install Intrepid Ibex, but my graphics cards don't work in Intrepid.
> 
> Installing Ubuntu only works with the extra boot options acpi=off or MAXCPUS=1. Ubuntu Intrepid installed, but i couldn't get any GUI. The x-server tried to start but failed. I also cannot switch to terminal using crtl-alt F1, because X keeps trying. sometimes i get the errormessage: no screens found. I tried ati, radeon, vesa, radeonhd. I tried installing the official ati-drivers. Nothing worked, then after hours of mindbreaking i installed Hardy Heron, IT worked! Installed the restricted drivers and the screen looks nice. No sound though and no wireless.
> 
> How can i get Intrepid Ibex to work? I read somewhere that xorg 7.4 could be the problem or the 4GB of RAM. Don't know how to fix this though. Latest versions of Mandriva and OpenSuse also do not run from livecd or install and suse complains about the graphic card.
> [lspci]
> 00:00.0 Host bridge [0600]: Advanced Micro Devices [AMD] RS780 Host Bridge [1022:9600]
>     	Subsystem: ASUSTeK Computer Inc. Device [1043:11e7]
> 01:05.0 VGA compatible controller [0300]: ATI Technologies Inc RS780M/RS780MN [Radeon HD 3200 Graphics] [1002:9612]
>     	Subsystem: ASUSTeK Computer Inc. Device [1043:1062]
> 02:00.0 VGA compatible controller [0300]: ATI Technologies Inc Mobility Radeon HD 3400 Series [1002:95c4]
>     	Subsystem: ASUSTeK Computer Inc. Device [1043:1875]
> 
>