Comment 12 for bug 317457

I have also a 865G and upgrading with packages from http://ppa.launchpad.net/ubuntu-x-swat/x-updates/ubuntu didn't work. Is that the package you used ? (xorg edgers have lots of repository but this one seemed to be the most advanced one)

I now have a 2.7 intel driver instead of the original Jaunty driver (2.6.?) :
(II) Module intel: vendor="X.Org Foundation"
        compiled for 1.6.0, module version = 2.7.1
        Module class: X.Org Video Driver
        ABI class: X.Org Video Driver, version 5.0

but I still have the message :
(**) intel(0): DRI is disabled because it fails to run without freezing on i810 and i865G chips. (See LP 304871)

Here is an extract from my dpkg -l :
xserver-xorg 1:7.4~5ubuntu18
xserver-xorg-video-intel 2:2.7.1-0ubuntu1~xup~1

And like you, I have :
00:02.0 VGA compatible controller [0300]: Intel Corporation 82865G Integrated Graphics Controller [8086:2572] (rev 02)
             Subsystem: Packard Bell B.V. Device [1631:e008]