I tried the gnome-fallback, but I have the same problem. I do have more information. I found that if I log on with the Remote Desktop Viewer, a bunch of text shows up if I run startx. It gets immediately blanked out on the desktop, but stays visible on the RDV. I should also mention that I've got three possible kernels in the Grub screen, but all behave the same.
Here's the messages I get running startx:
xauth: file /home/ZenBeam/.serverauth.1910 does not exist
X.Org X Server 1.11.4
Release Date: 2012-01-27
X Protocol Version 11, Revision 0
Build Operating System: x86-16 2.6.32-220.4.1.el6.x86_64
Current Operating System: Linux vortexbox.localdomain 3.3.0-8.fc16.i686.PAE #1 SMP Thu Mar 29 18:26:34 UTC 2012 i686
Kernel command line: BOOT_IMAGE=/vmlinuz-3.3.0-8.fc16.i686.PAE root=/dev/mapper/VolGroup-lv_root ro rd.md=0 rd.dm=0 rd.lvm.lv=VolGroup/lv_swap KEYTABLE=us quiet SYSFONT=latarcyrheb-sun16 rhgb rd.lvm.lv=VolGroup/lv_root rd.luks=0 LANG=en_US.UTF-8
Build Date: 08 March 2012 11:30:40PM
Build ID: xorg-x11-server 1.11.4-2.fc16
Current version of pixman: 0.22.2
Before reporting problems, check
http://wiki.x.org
to make sure that you have the latest version.
Markers: (--) probed, (**) from config file, (==) default setting,
(++) from command line, (!!) notice, (II) informational,
(WW) warning, (EE) error, (NI) not implemented, (??) unknown.
(==) Log file: "/var/log/Xorg.0.log", Time: Sun Apr 1 16:09:03 2012
(==) Using config file: "/etc/X11/xorg.conf"
(==) Using config directory: "/etc/X11/xorg.conf.d"
(==) Using system config directory "/usr/share/X11/xorg.conf.d"
(WW) fglrx: No matching Device section for instance (BusID PCI:0@2:0:1) found
FATAL: Module fglrx not found.
(EE) fglrx(0): atiddxDriScreenInit failed, GPS not been initialized.
/usr/bin/X: symbol lookup error: /usr/lib/xorg/modules/drivers/fglrx_drv.so: undefined symbol: GlxInitVisuals2D
The first error message is about .serverauth.1910 not existing. I have other versions (see below), but if I try copying one to .serverauth.1910, it complains about .serverauth.1591 not existing. Copying to that one, it complains about .serverauth.1656. (April Fools day, I guess.)
ls -l /home/ZenBeam/.serv*
-rw------- 1 ZenBeam ZenBeam 66 Dec 31 13:48 /home/ZenBeam/.serverauth.1516
-rw------- 1 ZenBeam ZenBeam 198 Jan 1 22:23 /home/ZenBeam/.serverauth.2753
-rw------- 1 ZenBeam ZenBeam 198 Jan 2 17:39 /home/ZenBeam/.serverauth.904