Same problem here. Looks like the linux-restricted-modules package was not upgraded automatically. I installed linux-restricted- modules-2.6.17-11-386 manually and the problem was resolved.
-- Upgrade to kernel 2.6.17-11-386 breaks X/NVidia https://launchpad.net/bugs/84340 -- ubuntu-bugs mailing list ubuntu-bugs@lists.ubuntu.com https://lists.ubuntu.com/mailman/listinfo/ubuntu-bugs
