I do not think this is Radeon/ATI related. I've just bought 2 Samsung
R530 laptops with Core i3 processores (integrated intel graphics). Am
also having severe wobble on the external output. Have just tried the
2.6.34-020634rc6-generic kernel with no change.

There appear to be several very similar bugs: 
https://bugs.launchpad.net/ubuntu/+source/linux/+bug/562138
https://bugs.launchpad.net/ubuntu/+source/linux/+bug/541834
https://bugs.launchpad.net/ubuntu/+source/linux/+bug/539350

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[RV530] Video problem: External monitor wavy, unreadable. ati radeon [Needs pll 
quirk]
https://bugs.launchpad.net/bugs/537640
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