2D is working really well in the XFree86 4.2.0 release - which should be included in all major distribtutions by know except for Debian which is traditionally about 6 months behind major releases.
Generic 4.2.0 has no 3D support. Interestingly, it does try to initialise the Rage Theater chip - if this is the DVD decoder part of the 8500 then its good that they're trying to make it work with Linux, otherwise ya boo sucks.
According to hi_ping the latest CVS of DRI (the 3D rendering interface between X and OpenGL) has some support for the 8500. So, we should see enough support for games (UT, Quake3, etc) in the next release of XFree86.
Just one minor bug with my software/system/whatever. Occasionally things get "left" on the screen. This is very apparernt in the screensavers (2D) but thankfully very rare elsewhere.
So, support is very good atm
