I meant to post this before, but: the new Catalyst 12-3 drivers fix a number of Radeon HD 7xxx-specific artifacts with X-Plane: incorrectly cut-out tree billboards and flashing triangles. So while I suggest latest drivers anyway, this update is particularly useful if you have a 79xx.
Ben – I can confirm these drivers have helped greatly with my 7970. But, is this the “fix” for the ATI issues mentioned before (clouds, cars) or is there more to come?
This is not ‘the’ fix; more coming on that soon. This driver update just fixes screen corruption.
Curious if you have any other reported issues with 5850s dispaying corrupted ground textures unless XP is started without GPU mipmapping? The problem is diminished, but still present, if the gritty surfaces checkbox is unchecked. This only became a problem around four beta releases ago (bug was filed at the time).
Please file bug report.