I have this issue too. All of your symptoms are the same with me, even the 25% opacity trick.
Ubuntu 10.04 LTS, 32bit Kernel 2.6.32-23-generic -- transparent panel fails to properly blur desktop background https://bugs.launchpad.net/bugs/553716 You received this bug notification because you are a member of Ubuntu Desktop Bugs, which is subscribed to gnome-panel in ubuntu. -- desktop-bugs mailing list desktop-bugs@lists.ubuntu.com https://lists.ubuntu.com/mailman/listinfo/desktop-bugs
