Same problem as Guy on my Acer Aspire One D270 after Upgrade from Lubuntu 12.04 
to 12.10.
Blacklisting the module alone did not suffice for me.
Did also need to update my initramfs with update-initramfs -u

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https://bugs.launchpad.net/bugs/1069031

Title:
  intel gma3600: X unable to start

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