This had me scratching my head for most of a night, so I thought I'd share it here. Setting up an HD4850 video card with an Acer P244W monitor on w7-64-rc1. The display picked the max res automatically, correct colour depth (1920x1080x32), but there was a black border of unused pixels on the screen. Going to lower resolutions would fix the issue (but look bad).
Solution turned out to be in image scaling in the Catalyst Control Center (part of the ATI drivers). The default had been set lower than full. Changing this successfully used all the screen real-estate.
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