I can confirm the bug for Karmic-beta fully installed.

I have Gateway E-475M with native res of 1680x1050
I use the latest ati open-source driver with my
M71 [Mobility Radeon X2100] (Secondary) graphics card.

The highest res offered in the display preferences applet is

1280 x 800 (16:10). A very big difference.

-- 
[X1800] Incorrect resolutions reported in Display dialog
https://bugs.launchpad.net/bugs/355576
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