I am closing this bug since it doesn't seems to be one.
Please use System - Preferences - Screen Resolution to choose 1440x900. I guess
the old resolution was saved from previous Ubuntu version. If you not sure
recheck it with the Live CD. It should have the correct resolution out of the
box.
Feel free to open it again if it still happens with Ubuntu Gutsy Gibbon 7.10
Live CD and a resolution change to 1440x900 isn't possible.
** Changed in: xserver-xorg-video-intel (Ubuntu)
Status: Incomplete => Invalid
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Widescreen resolutions not working on i965
https://bugs.launchpad.net/bugs/158852
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