I can confirm this still happening with karmic alpha 6. After the live cd boot, 
it shows a brown-to-black fade (slowly) and then nothing else. I can't go to 
other terminals.

And I do confirm that using the option i915.modeset=0 allows me to boot
perfecly.

Best,

Igor Gomes

-- 
black screen on live-cd startup
https://bugs.launchpad.net/bugs/409950
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