diff --git a/pkgs/os-specific/linux/nvidia-x11/builder.sh b/pkgs/os-specific/linux/nvidia-x11/builder.sh
index 6941288b3903..bad0d8aabd20 100755
--- a/pkgs/os-specific/linux/nvidia-x11/builder.sh
+++ b/pkgs/os-specific/linux/nvidia-x11/builder.sh
@@ -10,25 +10,16 @@ unpackFile() {
 
 buildPhase() {
     if test -z "$libsOnly"; then
-        echo "Building linux driver against kernel: " $kernel;
-
-        cd usr/src/nv/
-
-        # Workaround: get it to build on kernels that have CONFIG_XEN
-        # set.  Disable the test, apply a patch to disable the Xen
-        # functionality.
-        
-        #substituteInPlace Makefile.kbuild --replace xen_sanity_check fnord
-        #patch -p1 < $xenPatch
-
         # Create the module.
+        echo "Building linux driver against kernel: $kernel";
+        cd kernel
         kernelVersion=$(cd $kernel/lib/modules && ls)
         sysSrc=$(echo $kernel/lib/modules/$kernelVersion/build/)
         unset src # used by the nv makefile
         # Hack necessary to compile on 2.6.28.
         export NIX_CFLAGS_COMPILE="$NIX_CFLAGS_COMPILE -I$sysSrc/include/asm/mach-default"
         make SYSSRC=$sysSrc module
-        cd ../../..
+        cd ..
     fi
 }
 
@@ -37,10 +28,12 @@ installPhase() {
 
     # Install libGL and friends.
     ensureDir $out/lib
-    cp -prd usr/lib/* usr/X11R6/lib/libXv* $out/lib/
-
-    ln -snf libGLcore.so.$versionNumber $out/lib/libGLcore.so
-    ln -snf libGLcore.so.$versionNumber $out/lib/libGLcore.so.1
+    cp -prd libcuda.* libGL.* libnvidia-cfg.* libnvidia-compiler.* libnvidia-tls.* libnvidia-glcore.* libOpenCL.* libvdpau.* libXv* tls $out/lib/
+    ensureDir $out/lib/vdpau
+    cp -p libvdpau_* $out/lib/vdpau
+    
+    ln -snf libnvidia-glcore.so.$versionNumber $out/lib/libnvidia-glcore.so
+    ln -snf libnvidia-glcore.so.$versionNumber $out/lib/libnvidia-glcore.so.1
     ln -snf libGL.so.$versionNumber $out/lib/libGL.so
     ln -snf libGL.so.$versionNumber $out/lib/libGL.so.1
     ln -snf libnvidia-cfg.so.$versionNumber $out/lib/libnvidia-cfg.so.1
@@ -51,20 +44,21 @@ installPhase() {
 
     patchelf --set-rpath $out/lib:$glPath $out/lib/libGL.so.*.*
     patchelf --set-rpath $out/lib:$glPath $out/lib/libXvMCNVIDIA.so.*.*
-    set +e
-    # Legacy nvidia doesn't have cuda
     patchelf --set-rpath $cudaPath $out/lib/libcuda.so.*.*
-    set -e
     
     if test -z "$libsOnly"; then
         
         # Install the kernel module.
         ensureDir $out/lib/modules/$kernelVersion/misc
-        cp usr/src/nv/nvidia.ko $out/lib/modules/$kernelVersion/misc
+        cp kernel/nvidia.ko $out/lib/modules/$kernelVersion/misc
 
         # Install the X driver.
         ensureDir $out/lib/xorg/modules
-        cp -prd usr/X11R6/lib/modules/* $out/lib/xorg/modules/
+        cp -p libnvidia-wfb.* $out/lib/xorg/modules/
+        ensureDir $out/lib/xorg/modules/drivers
+        cp -p nvidia_drv.so $out/lib/xorg/modules/drivers
+        ensureDir $out/lib/xorg/modules/extensions
+        cp -p libglx.so.* $out/lib/xorg/modules/extensions
 
         ln -snf libnvidia-wfb.so.$versionNumber $out/lib/xorg/modules/libnvidia-wfb.so.1
         ln -snf libglx.so.$versionNumber $out/lib/xorg/modules/extensions/libglx.so
@@ -75,13 +69,23 @@ installPhase() {
         ensureDir $out/bin
 
         for i in nvidia-settings nvidia-xconfig; do
-	    cp usr/bin/$i $out/bin/$i
+	    cp $i $out/bin/$i
 	    patchelf --interpreter "$(cat $NIX_GCC/nix-support/dynamic-linker)" \
 	        --set-rpath $out/lib:$programPath:$glPath $out/bin/$i
         done
     
         # Header files etc.
-        cp -prd usr/include usr/share $out
+        ensureDir $out/include/nvidia
+        cp -p *.h $out/include/nvidia
+
+        ensureDir $out/share/man/man1
+        cp -p *.1.gz $out/share/man/man1
+
+        ensureDir $out/share/applications
+        cp -p *.desktop $out/share/applications
+
+        ensureDir $out/share/pixmaps
+        cp -p nvidia-settings.png $out/share/pixmaps
 
         # Patch the `nvidia-settings.desktop' file.
         substituteInPlace $out/share/applications/nvidia-settings.desktop \
diff --git a/pkgs/os-specific/linux/nvidia-x11/default.nix b/pkgs/os-specific/linux/nvidia-x11/default.nix
index bc88775b02f1..bd3ee3492443 100644
--- a/pkgs/os-specific/linux/nvidia-x11/default.nix
+++ b/pkgs/os-specific/linux/nvidia-x11/default.nix
@@ -7,7 +7,7 @@
 
 with stdenv.lib;
 
-let versionNumber = "195.36.24"; in
+let versionNumber = "256.35"; in
 
 stdenv.mkDerivation {
   name = "nvidia-x11-${versionNumber}${optionalString (!libsOnly) "-${kernel.version}"}";
@@ -17,13 +17,13 @@ stdenv.mkDerivation {
   src =
     if stdenv.system == "i686-linux" then
       fetchurl {
-        url = "http://us.download.nvidia.com/XFree86/Linux-x86/${versionNumber}/NVIDIA-Linux-x86-${versionNumber}-pkg0.run";
-        sha256 = "0h96356jmmk283ijq30zimp3wxldsaddrk03gy3jifj1v29iklcg";
+        url = "http://us.download.nvidia.com/XFree86/Linux-x86/${versionNumber}/NVIDIA-Linux-x86-${versionNumber}.run";
+        sha256 = "0qpn9i1z3b0zafpk97inmhr21wp93pjf76z9jxrxhi3jzkbbdxla";
       }
     else if stdenv.system == "x86_64-linux" then
       fetchurl {
-        url = "http://us.download.nvidia.com/XFree86/Linux-x86_64/${versionNumber}/NVIDIA-Linux-x86_64-${versionNumber}-pkg0.run";
-        sha256 = "1car62fgzy4gvgmqjywbdpascrasqwv3knlyw6zzr7r84qabzc1a";
+        url = "http://us.download.nvidia.com/XFree86/Linux-x86_64/${versionNumber}/NVIDIA-Linux-x86_64-${versionNumber}-no-compat32.run";
+        sha256 = "0in4b9k0nlbvnxrnh1v1d8m24wyljanymyh6w86yvirp24b4wang";
       }
     else throw "nvidia-x11 does not support platform ${stdenv.system}";