I can confirm this on a Toshiba Satellite M35X-S311 with 855GM
integrated graphics on a clean install of Hardy.  It results in a total
system freeze that requires a hard shut down.  In addition to happening
on video playback, it sometimes occurs when logging a user out.

lspci:

00:02.1 Display controller: Intel Corporation 82852/855GM Integrated
Graphics Device (rev 02)

I agree that this should be considered important because it causes the
system to freeze.

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[hardy] blank screen on 855GM when playing video using intel driver
https://bugs.launchpad.net/bugs/221316
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