You need the libtxc_dxtn but its very buggy on the radeon Driver. its an know issue but no one cares or has the skills to implement/fix
In the Bug Tracker there are many bug reports about this.
Someone can tell me if S3TC for r600 is implemented in a MESA GIT who is not the master branch? I initially wanted to implement it by myself by checking how it's made in the r300 drivers but I don't think I will be able to do it.
The current r600 implementation detect the external library but the S3TC section in r600_tex.c tell it's "not implemented" so when enabling S3TC in driconf, the error message in Wine change.
S3TC seem to be required for EVE-Online to display correctly. (I don't know if it's the only thing but when S3TC is "enabled", the bigs ugly black squares are replaced by missing icons.).
If nothing is currently made for this thing, can a r600 devel can tell us if it will be available in the next months,years or never?
S3TC seem to be required for a lot of commercial games.
This libtxc_dxtn work for r300 but not for r600 because it's not implemented.
This bug is open since something like 10 months and nothing has been done except hack to advert s3tc as available and vice-versa. This can help some game but not the one who are really requiring them
I'm pretty sure it'll eventually get there in r600g. Worry not.
what you think about decompressing compressed texture with help of libdxtn and then sending it to gpu.
will be a bit slow but may work at least