I suspect the new boot.img was not created with the correct hero base address, 0x19200000 (tip from Lox):
mkbootimg --kernel boot.img-kernel --ramdisk ramdisk-boot --cmdline "no_console_suspend=1 console=null" -o newBoot.img --base 0x19200000
I have a working update.zip now using aosp2.1-darchstar, just testing. I'm attaching my boot.img with the correct base address. It should work with whatever ROM you have.
I double-checked my kernel build, I enabled:
MSM Hardware 3D Register Driver
2. Android 2.0+ (Eclair) (MSM_HW3D)
...this was the only difference in the config that I could find, so I can only assume this is the 3D stuff. If so, the boot.img above is correct. Let me know if if works for others.