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Yeah I stuck with the old fashioned display driver, as I wasn't having much luck getting Compiz running with the restricted one (ATI X300 onboard here)
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I have to use the default ati drivers for an old ati(agp) card we have in a pc the girls use.It`s only some 64Mb thing and dosent require any restricted drivers although it does run compiz fine, out the box as it were.
It wont do TVout with those default ati drivers but it will using the vesa driver.
Which is still more than my own fx5500 will do, with it`s shiney restricted drivers.

It does do it`s dual monitors just fine though.