No, that wasn't what I meant... sorry. But the radeon drivers may have problems with most recent chipsets. You still may try the FireGL drivers from
www.shcneider-digital.de with your card to get (better?) 3D performance that those supplied by the XF86 4.3 default package. I suffered those same artifacts for a while with my Radeon 9500 until I downloaded and installed those drivers.
Your card is supported by the driver because it is (I think) an RV280 chipset, thus you may get it to work with the FGL drivers.
Also if you preffer to stick with Open Source software (the FGL drivers are closed source) give a try to the DRI project's drivers (dri.sourceforge.net)