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I have a Radeon HD4550 graphics card, Ubuntu 12.10, and I want to use HDMI audio and desktop effects. With the new radeon drivers do not support HDMI audio and the catalyst legacy drivers do not support the new xorg.

I have downgraded my xorg-server to 1.12.4 via https://launchpad.net/~makson96/+archive/fglrx so I could install catalyst legacy drivers. I have HDMI audio, but I do not have desktop effects.

Section "Extensions" Option "Composite" 1 EndSection

Did not do the trick.

Question: 1) can I use HDMI audio & effects with open source drivers? How? 2) if I have to use the proprietary drivers, how do I enable desktop effects?

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