zeus531

I had the very same error. I was using an OnBoard Radeon X1200 and swapped for a Radeon HD 4350 and it seems to be working. I still have DX 9.0c but I did reinstall the latest drivers and CCC. I think someone else was having a similar issue and was using a Radeon X600. I'm of the opinion this game hates OnBoard chipset video display.

also have a built in ATI video... Looks like I have to go and get me a video card =/ it's about time, I guess...

I have the same issue and it affects both KotOR 1 and 2... Does this have something to do with a multi-core processor maybe?