See i915-xorg.conf. This machine doesn't support the 1400x1050 widescreen resolution but it looks fine in 1280x800.
On this machine, fn + F4 doesn't change to the SVGA or S/Video output, even though those are configured properly in the xorg.conf file. It seems that the xorg i810 driver needs to be modified for this to work. There is a modified development version of this driver that may work for you - in Ubuntu Edgy, install the xserver-xorg-video-intel driver instead (and configure Xorg to use this instead of the default i810 driver). (Apparently the latest Fedora also includes this alternative driver, if you are running that.)
The touchpad does a 'button1' mouse click when you tap it, which is much too easy to do accidentally while typing.
The touchpad isn't supported by the 'synaptics' touchpad driver in xorg, at least with the default kernel (as of 2.6.12). It apparently uses the "alps" protocol. This requires both kernel support (in the psmouse.ko driver) and xorg support (provided by the synaptics driver).
I: Bus=0011 Vendor=0002 Product=0008 Version=7321 N: Name="AlpsPS/2 ALPS GlidePoint" P: Phys=isa0060/serio4/input0 ...
[4315892.898000] alps.c: Enabling hardware tapping [4315892.963000] input: PS/2 Mouse on isa0060/serio4 [4315892.976000] input: AlpsPS/2 ALPS GlidePoint on isa0060/serio4
xorg-driver-synaptics (0.14.3+revertedto+0.13.6-0ubuntu1) breezy; urgency=low * Revert to old upstream version for preview at least, as the new was quite catastrophically broken with ALPS. Fixed some, broke a lot (closes: Ubuntu#14480).
Anyway, instructions for installing the newer version from source are here. The new driver will move the mouse much more slowly than the normal PS/2 driver, so make sure you set the other options for scroll speeds.