Also affecting me. The following points may be of interest:
 
1. Graphics: NVIDIA GeForce G210M with 512MB DDR Dedicated Memory.
 2. Machine: Lenovo G550 NTDF3UK (Laptop)
 3. Previously I upgraded (on the standard driver) from 11.10 to 12.04 and this 
issue did not occur.
 4. I erased and reinstalled my entire OS (for fun) and then the issue started. 
I have tried with the default driver and also with the proprietary driver in 
'Additional Drivers' and both exhibit the same issue.
 5. If I keep rebooting my machine it eventually recovers and logs me into the 
desktop. Sometime it logs me in first time, other times it takes around2-3 
reboots and then it is fine again until the next time.
 6. I've attached my output from SysInfo in case anything in there is of 
interest (GM_SysInfo).
 
Does anyone know a timeline for this fix because this is really spoiling what 
is an excellent Ubuntu release and it is incredibly tedious to keep rebooting 
to get to a desktop (I don't know of a 'smarter' way to start the desktop 
(running startx from within low graphics mode does not invoke the launcher or 
the panel).

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https://bugs.launchpad.net/bugs/993579

Title:
  lightdm improperly report low graphics card

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