Re: 2nd x-server won't work
If you're trying to set-up an nvidia card to use seperate xservers on seperate VT's at the same time, then you'll have a job. The nvidia cards with one monitor out and one TV out aren't really dual head cards, so you have to run them in the dual screen config on the same xserver, not single screens on seperate xservers.
You can only do that with a proper dual head card or two single head nvidia cards AFAIKT
Hope that helps.