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Intel® Driver Update Utility for graphics drivers - Check for the latest driver
There are numerous reports across the web addressing this issue. You will not be able to run Aero, but you will be able to overcome your current display issue.
Update your chipset driver.
You can get a good video card for this machine for ~ $25
You may need to do a forced install. IF AND ONLY IF the Dell automated driver install fails, from device manager, navigate to C:\Dell\Drivers\xxxxx\ and select the appropriate INF.
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