Zero motion blur on LCD computer monitor is possible in an out-of-the-box LCD monitor, without needing to hack a backlight. Tech Gaming has posted instructions for enabling nVidia 3D LightBoost during 2D mode:
Yes, I’ve finally found the holy grail of gaming in 2D mode on an LCD monitor: zero motion blur! It literally displays motion as good as a CRT and then some. I was so stoked when I first saw the effect today, that my jaw literally dropped and I played my game open mouthed, it was that awesome! This combined the crystal clarity of an LCD display with the motion sharpness and smoothness of a CRT, all at a fast 120Hz screen refresh rate. This is something I’d never seen before and looks truly amazing – better than even a CRT.
This is great news. This works on the Asus VG278H computer monitor! If you’re dreaming of zero motion blur on a LCD monitor, the wait is over! No hardware hacking needed.
Update: I’ve purchased the VG278H monitor & confirm this: This LCD computer monitor has zero motion blur when adjusted this way! HardForum thread.
Update #2: New, much easier LightBoost instructions: LightBoost HOWTO