I tried to wipe my system, encrypt it and re-create the magic above.
It didnt work, go figure.
I did another clean install of the DVD media [kernel 3.1.0-7.fc16.x86_64] then I installed:
Everything else was installed by default
Intel 2011Q3 graphics package
Kernel: Linux 3.0 release
3D driver: mesa 7.11 release
2D driver: xf86-video-intel 2.16.0 release
Libdrm: libdrm-2.4.26 release
Libva: libva-1.0.14 release
DID NOT create an xorg.conf this time
#change the default grub settings
add (at the end) acpi_osi=Linux acpi_backlight=vendor (make sure the close " mark is there)
#make a backup of the old file, case it screws up
cp /boot/grub2/grub.conf /boot/grub2/grub.conf.BAK
#build a new grub.conf
grub2-mkconfig -o /boot/grub.conf
---------- Post added at 10:15 AM ---------- Previous post was at 09:29 AM ----------
I just updated and my changes seem to still work.
I am now using kernel 3.1.2-1.fc16.x86_64