This is why I have the policy of "Always ATI" on a laptop video chipset.

The effect you are seeing is due to the video card not expanding the image to fill the LCD, instead it is just displaying it at it's native resolution. (Remember, LCDs have a specific resolution. Say for example it has 800 pixels across and 600 down. If something is displayed at 640x480, a border of 80 on the top/bottom edge, and 60 pixels on the left/right sides will be used.) Double check the display control panal and the BIOS settings to make sure, but if there is not a setting for this, it probably won't let you stretch it.

All laptops I have seen with ATI based video solutions can stretch the image to full screen, and they do a nice job on both text and graphics. Other video solutions will stretch it, but leave horrid edge problems in text mode, and similar problems in graphical mode. If it's your decision on the laptop, always look at the video solution, since this is one of the main components of the laptop that you will have to deal with every time you use the system.