Did phi say it was a driver issue? MxO is probably at the very end of the list for games having problems with the 8800 series. darn you nvidia!
The problem seems to stem from directX 9 based occluded surface culling (including when DX10 runs in backwards compatibility mode) - that's "calculating what to not draw because it's hidden" for you lay people.
It spends so much time calculating what to not draw (because indoors you have indoors and outdoors environments to draw, thanks to windows you can see out of) that it slows down. It would be faster if it just drew everything.
So yeah it seems to be a driver bug. New Beta drivers FTW.
New beta drivers are up at http://www.nvidia.com/object/winxp_2k_162.18.html
this is the single most powerfull graphics card ever created
Are the people who are experiencing this problem only encountering it in Windows XP? Are there any Vista or even Win2K users here that are having the same problem, or can verify that they are not having this issue on their version? I cringe at the thought of installing Vista, but I was wondering if it might be an issue with Nvidia's XP drivers only.
Vista has its own problems...which by and large means even if the problem of lag is cured you still wont be happy with the result (misplaced shadows, dropped textures, sneak turning the entire screen opaque etc..)
Sadly the most powerful graphics chips available 'the gamers choice' atm and the most up to date operating system dont seem to agree with MxO....