I got xvideo working! I should have researched more before posting my
prior post...
The solution is to add the following line to the fglrx-device section of
/etc/X11/xorg.conf:
Option "TexturedVideo" "on"
My complete section now looks like this:
Section "Device"
Identifier "aticonfig-Device[0]"
Driver "fglrx"
BoardName "ati"
Option "VideoOverlay" "on"
Option "OpenGLOverlay" "off"
Option "TexturedVideo" "on"
Option "XaaNoOffscreenPixmaps"
Option "UseFastTLS" "2"
Option "RenderAccel" "true"
BusID "PCI:1:0:0"
EndSection
--
[hardy] fglrx xv output not available for video playback
https://bugs.launchpad.net/bugs/197639
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