I tried using an InputDevice section in my XF86Config to configure multiple input device support. This works in XFree86 4.0.1 on when I've manually installed it (off of RedHat 6.1). It doesn't seem to work on my laptop after I upgraded directly from 6.1 to 7.0. xinit still reports itself as 3.3.6. This was a plain vanilla upgrade over a vanilla 6.1 installation (except that vi was replaced with a custom compiled version). I tried deleting xinit and a couple of other files (the servers) and reinstalled just the 4.0.1 XFree* packages and ended up with the same situation.
I think this may be a simple as just deleting the symlink for X in /etc/X11 with a link to /usr/X11R6/bin/XFree86 and making sure the XF86Config is 4.0.1 compatible (from what I can tell, it is). I can understand the need to be conservative upgrading machines (for example, if the driver hasn't been ported yet). Since my old server was the SVGA one (this is a Laptop with a Neomagic 2200 chip... the laptop is a Sony Vaio PCG-N505VX), i think maybe that's why the link wasn't removed/changed (I'll look into that). Maybe this using the old X vs. the New X should be an explicit option (it may have been a package choice, but I was never prompted when I jut accepted the defaults. I'm no longer sure this is a bug vs. an enhancement request. Looking forward to your assessment. Sujal
A lot of the 4.x servers were a little shaky so it tends to pick 3.3.6. You can tell the system you want a 4.0 server preferably. Use Xconfigurator --preferxf4 and that should get you what you want.
XF86Config is for XFree 3.3..x only, XFree 4 uses XF86Config-4. Put your changes in there.