Running  Ubuntu 8.0.4 With ATI HD 2600 On a Compaq 8510q.
Its called CompizConfig.
1. Lets test if your hardware is compatible
# wget http://blogage.de/files/4359/download -O compiz-check
# chmod +x compiz-check

Do not run as root:
# ./compiz-check
Results:
Distribution:          Ubuntu 8.04
Desktop environment:   GNOME
Graphics chip:         ATI Technologies Inc M76 [Radeon Mobility HD 2600 Series]
Driver in use:         fglrx
Rendering method:      AIGLX

Checking if it’s possible to run Compiz on your system…
Checking for texture_from_pixmap…                [ OK ]
Checking for non power of two support…           [ OK ]
Checking for composite extension…               [ OK ]
Checking for FBConfig…                          [ OK ]
Checking for hardware/setup problems…           [ OK ]

ref. http://forlong.blogage.de/article/pages/Compiz-Check
If result is all [OK] Then :

2. Download and install CompizConfig


# sudo apt-get install compizconfig-settings-manager

System -> Preferences ->  Advanced Desktop Effect Settings
and it should work.
To Make sure it is running
# ps ax | grep compiz
4. Troubleshooting:
If it dosent work you may have too add these line in
#gedit  /etc/X11/xorg.conf

Section “Device”
Identifier    “Configured Video Device”
Driver        “fglrx”
Option           “UseInternalAGPGART” “no”
Option           “KernelModuleParm” “agplock=0”
BusID           “PCI:1:0:0”
Option      “ForceMonitors” “lvds,crt1”
Option “ColorTiling” “on”
Option “EnablePageFlip” “true”
EndSection

If you have an ATI card but you dont have the fglrx driver installed check this instruction on how to install it :


#sudo apt-get update
#sudo apt-get install linux-restricted-modules-generic restricted-manager
#sudo apt-get install xorg-driver-fglrx
#sudo depmod -a
#sudo gedit /etc/X11/xorg.conf
Add the line under Section "Device"
Driver            "fglrx"

Then to make sure Xorg is set up correctly, you’ll have to let aticonfig “initialize” it:
#sudo aticonfig --initial -f
After this you should be able to restart your computer and have the driver working. To test type

#fglrxinfo

Output:
display: :0.0 screen: 0
OpenGL vendor string: ATI Technologies Inc.
OpenGL renderer string: ATI Mobility Radeon HD 2600
OpenGL version string: 2.1.7412 Release

There is also a tool/script that is said (but not tested by me) that do all that via GUI
its called Envy, check it out.
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