I have the same issue also.  The only way I've found to 'recover' is to
hold in the power button so as to restart the machine.  Ubuntu 7.10, AMD
64 x 2, Radeon 9250 graphics card, 2 gigs RAM, AMD chipset.

I've tried disabling compiz but the issue persists.

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Monitor goes to sleep and does not get up
https://bugs.launchpad.net/bugs/111018
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