Well, it seems like somebody destroyed my post with the workaround using app verifier to lie about the version in order to get latest driver working on Windows 2008 R2.
Well, devs are monitoring - they do not want you to know that it is working
...
BTW, I've installed the latest NVidia
Beta driver for my main graphics card and all problems are GONE!!!
I finally have Windows 2008 R2 running with:
* NVidia GeForce 8800 with latest Beta driver (search beta on NVidia site)
* Diamond BVU160 with recent DisplayLink 5.2 RC 5.2.21555.0
* The workaround I mentioned in the previous post (deleted by admins here).
It is running fast, and no crashes. And, it is even coming from sleep fast after Nvidia Beta driver install....
DisplayLink devs: really. What is the problem with enabling this scenario? You can always say: this is unsupported, you do not have to actually block it. You do not want to test it, fine - but do not block the setup - just add warning in setup...
What are the long term plans re Windows 2008 R2?