Sooo I was just given this game as a gift and altho it installs and the scenes play great, I cant play the game cause the graphics are all pixelated. The characters are fine, it's just everything else. I checked and card ( 128 ATI Radeon x1300 Windows XP) should be fine, messed with the Catalyst Control Center a bit with no luck. Any suggestions?

annnnd I lowered the display acceleration and it seems to be fine now! Off to play and fingers crossed!

another minor issue! The mouse cursor is constantly flickering and its very annoying! Also there seems to be a slight "box" of graphics around it.

That would generally be a driver issue. Check to see if there are any updates for your card.

Or since you have XP, you can reduce video acceleration:

Right-click the desktop where there is no icon
Choose Properties from the context menu
Settings tab
Advanced button
Troubleshoot tab
Move the slider to the left a notch or two and OK it.