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Originally Posted by aussie
that has got to be the worst banding I have *ever* seen 
No way is the SXGA screen supposed to look like that. That is not a driver issue.
It is a faulty system. Period.
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Have to concur here. CBG would undoubtedly express it as, "Worst banding. Ever." Truly ashame.
Only because it applies, I will relate my own 8890 screen experiences. The first 16" UXGA display I received seemed flawless. Not one morbid pixel. However, there was a very peculiar issue when any display driver (Driver CD supplied, Sager download, ATI Catalyst, Omega, etc) other than the standard Windows display driver was used. The problem : a faint, high pitched electronic discharge whine occurred any and every time the display was being changed in any manner (ie, a window was maximized or minimized, activating the Start menu, during the DirectX diagnostic, etc). I could liken it to a fainter and higher pitched degaussing sound. Bizarre. I thought for certain it was driver related in some manner, but try as I might, I could not find a workaround (even with all the permutations of display drivers at alternate resolutions AND color depths). No performance degredation other than this strange (and yes, annoying) sound. Spoke with PC Torque technical support, and they concurred it was not normal operation, (spoke with Mike, and he thought it could be indicative of a larger problem, possibly power related or the motherboard). Unfortunately, it required being returned.
Rather than a repair, I opted for a full return and repurchase, as the price had dropped significantly (ergo, enough that even with eating the cost of three shipments, there was over a $150 difference), and I thought the Warrantech + Shipment Cost warranties were better suited for my purposes. Also, I was well within the first thirty days.
Devices employing this level of technology are bound to have problems. Just the sheer magnitude of the combinatorial events are staggering. Imagine purchasing from an automobile market where a part never failed within the first year, or you were guaranteed to receive a make and model without defect. Now compare the automobile purchase to a purchase roughly 1/10th to 1/15th the price, and roughly 1/3rd the product life.
The above guarantees of perfection are, unfortunately for the consumer, unheard of. That does not, however, mean the consumer is unprotected or forced to be content with "less than acceptable". There are guarantees and warranties in place just for this reason - 30 Day Money Back Guarantees, 30 Day 48-Hour Repair Guarantees, One Year 72-Hour Repair Guarantees, etc. Even a "Less than perfect" Display Guarantee.
It should also be noted that knowingly purchasing a product that makes use of a discontinued or rare technology can often be problematic. The 16" SXGA screen technology seems to be less popular at the moment, among manufacturers. Much like 16" UXGA technology. Opting into this feature or any similar feature means accepting the risk involved. Even with stringent quality testing, malefic as the possibility may seem, failures are
going to occur.
We would all rather have perfect, flawless machines that perform optimally; but the exact mathematical likelihood of such is - as perhaps those in aussie's part of the world might contend - "not bloody likely".
Regardless, good luck with whichever machine you choose to replace your unfortunate situation with.