II've had the same error message after I upgraded from Kubuntu 10.04 to 10.10 
(with updates) yesterday. My PC has two Radeon cards (RV350 and RV370).
After many hours trying bring my system to live I've found that in my case the 
cause of problem was:
Load "v4l"
option in "Module" section of this file.
Commenting this line fixed KDM (and Xorg) start.

Could you see if you have /etc/X11/xorg.conf and post it here if you've
got it?

-- 
Xorg assert failure: X: /usr/include/xorg/privates.h:122: dixGetPrivateAddr: 
Assertion `key->initialized' failed.
https://bugs.launchpad.net/bugs/635362
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