Does the activation of Shader Models 3.0 disable shadow filtering?

[Sebiale]

So yesterday I activated the Shader Models 3.0 (I think), should doing that cause the in-game option, shadow filtering, to gray out?

 

Is there any way to tell if the Shader Model is working in-game or out-game?

(I'm hopeless when it comes to determining graphical differences unless I have a side-by-side.)

 

Edit: Shadows on Grass is also grayed out, and the in-game screen is just a blank blue-gray. This is after I activated the Shader Models as described in Oblivion tweaks.

Found a similar problem here. Dude never got back on whether it worked.

I am using an Asus laptop.

 

Attached DxDiag, I wouldn't trust it too much. It says I have 2GB of video memory...my card is 1GB and my PC has 4GB, so...yeah. No idea how that worked out.

[Sebiale]

Nevermind, fixed it. It seems that my Force1xShaders were also turned on along with Shader Models.

Nicht Gut.