Does the OpenGL section in TrainzDiag show a pass llike this?
XP is pretty much just NT in a pretty frock anyway so it probably won't make too much of a difference for the driver.
I'm not too well acquainted with ATI cards, I've always had nVidia ones.
If you post the dxdiag details I'm sure someone more in the know with ATI cards will help us.
Here's the relevant section from my dxdiag report as an example.
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Display Devices
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Card name: NVIDIA GeForce Go 7900 GS
Manufacturer: NVIDIA
Chip type: GeForce Go 7900 GS
DAC type: Integrated RAMDAC
Device Key: Enum\PCI\VEN_10DE&DEV_0298&SUBSYS_FF311179&REV_A1
Display Memory: 512.0 MB
Current Mode: 1600 x 1200 (32 bit) (60Hz)
Monitor: HP LP2065 LCD Monitor
Monitor Max Res: 1600,1200
Driver Name: nv4_disp.dll
Driver Version: 6.14.0011.6909 (English)
DDI Version: 9 (or higher)
Driver Attributes: Final Retail
Driver Date/Size: 11/11/2007 17:51:00, 5770880 bytes
Mike.