I just got myself the game but im Im really disappointed... so I have a few questions
does this game require pixel&vertex shader 3.0 or it can run on 2.0 too?
If I can't run it on shader version 2.0 then ignore the following:
when I start the game I get an error saying this: 
FATAL ERROR: Renderer #0 could not be initialized! Make sure your graphic card drivers are up to date. Check log file for more information.
when I checked the crash log thats what I saw
-------- THE HPL ENGINE LOG ------------
Engine build ID 20100818114615
Creating Engine Modules
--------------------------------------------------------
 Creating graphics module
 Creating system module
 Creating resource module
 Creating input module
 Creating sound module
 Creating physics module
 Creating ai module
 Creating gui module
 Creating generate module
 Creating haptic module
 Creating scene module
--------------------------------------------------------
Initializing Resources Module
--------------------------------------------------------
 Creating loader handlers 
 Creating resource managers
 Adding loaders to handlers 
--------------------------------------------------------
Initializing Graphics Module
--------------------------------------------------------
 Setting video mode: 1024 x 768 - 32 bpp
 Init Glew...OK
 Setting up OpenGL
  Vendor: ATI Technologies Inc.
  Renderer: ATI RADEON XPRESS 1100
  Version: 2.0.6347 Release
  Max texture image units: 16
  Max texture coord units: 8
  Max user clip planes: 6
  Two sided stencil: 1
  Vertex Buffer Object: 1
  Anisotropic filtering: 1
  Max Anisotropic degree: 16
  Multisampling: 1
  Texture compression: 1
  Texture compression S3TC: 1
  Auto generate MipMaps: 1
  Render to texture: 1
  Max draw buffers: 4
  Max color render targets: 4
  Packed depth-stencil: 1
  Texture float: 0
  GLSL Version: 1.10
  ShaderModel 2: 1
  ShaderModel 3: 1
  ShaderModel 4: 0
  OGL ATIFragmentShader: 1
ATTENTION: System does not support const arrays in glsl!
ERROR: Failed to compile GLSL shader 'D:/Games/Amnesia.The.Dark.Descent.MULTI5.Incl.Serial-THETA/Amnesia - The Dark Descent/redist/core/shaders/deferred_base_vtx.glsl'!
Shader code:
-------------------
[0001] ////////////////////////////////////////////////////////
[0002] // Deferred Base - Vertex Shader
[0003] //
[0004] //
[0005] ////////////////////////////////////////////////////////
[0006] #version 120
[0007] 
[0008] //---------------------------------------------
[0009] 
[0010] 
[0011] 
[0012] 
[0013] 
[0014] 
[0015] //32 bit G-Buffer
[0016] 
[0017]     
[0018] 
[0019] 
[0020] 
[0021] 
[0022] 
[0023] 
[0024] 
[0025] 
[0026] 
[0027] 
[0028] 
[0029] //---------------------------------------------
[0030] 
[0031] ///////////////////////////////
[0032] // Main program
[0033] void main()
[0034] {    
[0035]     //////////////////////
[0036]     // Position
[0037]     gl_Position = ftransform();
[0038]     
[0039]     
[0040]     //////////////////////
[0041]     // Color
[0042] 
[0043]     
[0044]     //////////////////////
[0045]     // Uv
[0046] 
[0047] 
[0048]     //////////////////////
[0049]     // Normals
[0050] 
[0051] 
[0052]     //////////////////////
[0053]     // Normalmapping
[0054] 
[0055]     
[0056]     //////////////////////
[0057]     // Parallax
[0058] 
[0059] 
[0060]     //////////////////////
[0061]     // Deferring (G-Buffer)
[0062] 
[0063]     
[0064] 
[0065]     
[0066]     //////////////////////
[0067]     // Deferring (Lights)
[0068] 
---------------------
Compile log:
---------------------
Vertex shader failed to compile with the following errors:
ERROR: 0:6: '' :  Version number not supported by GL2
ERROR: 1 compilation errors.  No code generated.
---------------------
ERROR: Couldn't create program 'deferred_base_vtx.glsl'
ERROR: Could not load material 'Deferred' shader 'deferred_base_vtx.glsl'
ERROR: Failed to compile GLSL shader 'D:/Games/Amnesia.The.Dark.Descent.MULTI5.Incl.Serial-THETA/Amnesia - The Dark Descent/redist/core/shaders/deferred_base_vtx.glsl'!
Shader code:
-------------------
[0001] ////////////////////////////////////////////////////////
[0002] // Deferred Base - Vertex Shader
[0003] //
[0004] //
[0005] ////////////////////////////////////////////////////////
[0006] #version 120
[0007] 
[0008] //---------------------------------------------
[0009] 
[0010] 
[0011] 
[0012] 
[0013] 
[0014] 
[0015] //32 bit G-Buffer
[0016] 
[0017]     
[0018] 
[0019] 
[0020] 
[0021] 
[0022] 
[0023] 
[0024] 
[0025] 
[0026] 
[0027] 
[0028] 
[0029] //---------------------------------------------
[0030] 
[0031] ///////////////////////////////
[0032] // Main program
[0033] void main()
[0034] {    
[0035]     //////////////////////
[0036]     // Position
[0037]     gl_Position = ftransform();
[0038]     
[0039]     
[0040]     //////////////////////
[0041]     // Color
[0042] 
[0043]     
[0044]     //////////////////////
[0045]     // Uv
[0046] 
[0047] 
[0048]     //////////////////////
[0049]     // Normals
[0050] 
[0051] 
[0052]     //////////////////////
[0053]     // Normalmapping
[0054] 
[0055]     
[0056]     //////////////////////
[0057]     // Parallax
[0058] 
[0059] 
[0060]     //////////////////////
[0061]     // Deferring (G-Buffer)
[0062] 
[0063]     
[0064] 
[0065]     
[0066]     //////////////////////
[0067]     // Deferring (Lights)
[0068] 
---------------------
Compile log:
---------------------
Vertex shader failed to compile with the following errors:
ERROR: 0:6: '' :  Version number not supported by GL2
ERROR: 1 compilation errors.  No code generated.
---------------------
ERROR: Couldn't create program 'deferred_base_vtx.glsl'
ERROR: Could not load material 'WireFrame' shader 'deferred_base_vtx.glsl'
ERROR: Failed to compile GLSL shader 'D:/Games/Amnesia.The.Dark.Descent.MULTI5.Incl.Serial-THETA/Amnesia - The Dark Descent/redist/core/shaders/deferred_base_vtx.glsl'!
Shader code:
-------------------
[0001] ////////////////////////////////////////////////////////
[0002] // Deferred Base - Vertex Shader
[0003] //
[0004] //
[0005] ////////////////////////////////////////////////////////
[0006] #version 120
[0007] 
[0008] //---------------------------------------------
[0009] 
[0010] 
[0011] 
[0012] 
[0013] 
[0014] 
[0015] //32 bit G-Buffer
[0016] 
[0017]     
[0018] 
[0019] 
[0020] 
[0021] 
[0022] 
[0023] 
[0024] 
[0025] 
[0026] 
[0027] 
[0028] 
[0029] //---------------------------------------------
[0030] 
[0031] ///////////////////////////////
[0032] // Main program
[0033] void main()
[0034] {    
[0035]     //////////////////////
[0036]     // Position
[0037]     gl_Position = ftransform();
[0038]     
[0039]     
[0040]     //////////////////////
[0041]     // Color
[0042] 
[0043]     
[0044]     //////////////////////
[0045]     // Uv
[0046] 
[0047] 
[0048]     //////////////////////
[0049]     // Normals
[0050] 
[0051] 
[0052]     //////////////////////
[0053]     // Normalmapping
[0054] 
[0055]     
[0056]     //////////////////////
[0057]     // Parallax
[0058] 
[0059] 
[0060]     //////////////////////
[0061]     // Deferring (G-Buffer)
[0062] 
[0063]     
[0064] 
[0065]     
[0066]     //////////////////////
[0067]     // Deferring (Lights)
[0068] 
---------------------
Compile log:
---------------------
Vertex shader failed to compile with the following errors:
ERROR: 0:6: '' :  Version number not supported by GL2
ERROR: 1 compilation errors.  No code generated.
---------------------
ERROR: Couldn't create program 'deferred_base_vtx.glsl'
ERROR: Could not load material 'Simple' shader 'deferred_base_vtx.glsl'
ERROR: Frame buffer 'Deferred_GBuffer_Depth' is not complete! Missing attachments!
ERROR: Could not create frame buffer with only depth for Deferred renderer type: 0!
FATAL ERROR: Renderer #0 could not be initialized! Make sure your graphic card drivers are up to date. Check log file for more information.
I use an ATI xpress 1100 integrated graphics card, I tried to update my drivers but I always get an error saying: 
Setup did not find a driver compatible with your current hardware... at the end I had to use the system restore to get myself the old drivers
So I wanna ask you what might be causing the game to crash on startup? Could it be DirectX?

 If it's the drivers would a windows XP reinstallation solve the error?
thx in advance