EDIT: SOLUTION FOUND! See below.
Hi, I seem to encounter the same issue as Poltergeist.
I'm playing on the MSI Netbook U135:
CPU Intel Atom N450
Graphics chipset Intel Graphics Media Accelerator 3150
Win 7 Starter Edition
Fallout 2 used to run fine, even with the high resolution patch.
I did a clean reinstall before applying restoration project 2.1.2b (the latest), and I experience the same "Fallout appears to be running in compatibility mode" error.
I tried the checking/unchecking all compatibility options method, but as for Poltergeist, the "run in 256 colors option" is uncheckable.
I tried setting F2 in WIN 95 compatiility mode, and got an error message "This program requires Windows 95 with DirectX 3.0a or later or Windows NT version 4.0 with Service Pack 3 or greater."
I even set my desktop to native 640*480, 16-bit colors, to no effect.
Any advice on this issue would be much, much appreciated.
SOLUTION FOUND!! AT THE BOTTOM OF THE FALLOUT.EXE DIALOG BOX, CLICK ON "MODIFY SETTINGS FOR ALL USERS" ("modifer les paramètres pour tous les utilisateurs", in my french Windows, I don't know exactly how it will look like on an english system). THERE A NEW DIALOG BOX APPEARS WHERE YOU CAN UNCHECK "RUN IN 256 COLORS". After that, the game runs no problem. Hurrah!
YES! I LOVE YOU! Everything seems to work absolutely fine.