Colour Tiling in openSUSE 11.3 rc1 is not enabled by default but there are no 
such problems with the video decoding (even when Compiz effects are on).
xorg 1.8, kernel 2.6.34 in use.

-- 
[radeon driver] (regression) poor video decoding performance
https://bugs.launchpad.net/bugs/578224
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which is subscribed to xserver-xorg-video-ati in ubuntu.

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