Most likely cause is some program is rejecting the screen saver initalization. Easiest way to debug this is to start killing startup apps and other un-needed programs until the screen saver starts working. Then we can figure out if the culprit app is doing this intentionally (perhaps a setting) or its a bug.
I had a problem with my hardware causing this. Turns out something weird with the MS Intellimouse Laser 6000 USB receiver messes up the screensaver/powersave initialization routine. There's an updated driver on WU for it, if this is your issue.
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