The graphics app on the black screen was the new failsafe mode, that
uses the vesa driver. When you clicked cancel rather than configuring
the hardware, it just booted you into X with the vesa driver.
Compiz is not supported on the Vesa driver.
You can switch it back via the System > Administration > Screens and
Graphics. You may want to try both i810 and intel, as one may work
better for you than the other.
It sounds like the root issue is that -intel is not starting up. Could
you attempt booting it again, and then attach the
/var/log/Xorg.0.log[.old] from this, so we can review it for errors?
** Changed in: xserver-xorg-video-intel (Ubuntu)
Status: New => Incomplete
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X will only start with vesa in xorg.conf, after upgrade to Gutsy
https://bugs.launchpad.net/bugs/147909
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