Hi,
Edit: Please read last post for my current setup which "works"I have just recently installed PCLinuxOS 2010, with KDE. I am very impressed with both PCLinuxOS and the community here. Was able to fix many of my early problems based on threads here!
I was first testing out the different desktop activities with each of the four desktops having one activity. I must say, they are really well done especially the launcher and some of the widgets. But, I had issues with the windows not redrawing properly, and looking sort of dated. So, I turned on compositing in KDE, using the desktop effects (Configure your desktop > Desktop > Desktop Effects etc.
Here, I found KDE to be quite lacking with a lot of lag, and occasional suspension of compositing due to performance issues. So, I thought I will check out compiz instead. There started my trouble. I ended up setting up my desktop activities many times, and adding new wallpapers to identify the desktops which would mysteriously disappear only to appear again thereby taunting me to think it is possible to have them setup correctly somehow.
Long story short, I figured out a workaround. The activities I created are stored somewhere, and by adding a right-click mouse action to my desktop, I am able to switch between them with relative ease. Not the ideal solution, but good enough.
Now, there are two problems that happen: If I setup compiz to have four desktops, AND KDE to have four desktops, they don't overlap. That is, the pager only shows the KDE desktops and using compiz cube or other means to switch between desktops doesn't update my position on the pager/switcher. Furthermore, when I am in the first KDE desktop, I can switch to my open windows (I have smooth tasks setup to show all windows - the default setup), so if I click on a program icon that is on another desktop, the compiz desktop switch happens to show the window. But, if I click on the pager to change desktop, a KDE desktop switch happens and all icons vanish from smooth tasks.
So, I figured it is like the KDE desktop is a container that contains the compiz desktops. I tried was to set the number of KDE desktop to 1. This works for a bit with everything perfect - clicks on the pager AND keyboard/mouse triggers moving between the different compiz desktop. But somehow the number of desktops on compiz also gets set to one automatically, and the pager updates to show only one desktop. Anyone can think of a solution of any tips for working around this snag? That would be very helpful!
One more question: If I use compiz as the DE, do I still need to keep KDE compositing enabled? (Configure your desktop > Desktop > Desktop Effects > Enable Desktop effects) I would think not, since KWin is not being used.
I am sorry this is such a long verbal post with no pictures. If you would like some screenies or something, let me know. I know this has a lot to do with KDE + compiz interaction and very little to do with PCLinuxOS as such (wonderfully delicious distro, btw!) but since I haven't seen these many helpful people on any other forum before, I thought I would hedge my bets on here

I noticed there are others who tried to do something similar with little luck in these threads:
http://www.pclinuxos.com/forum/index.php?topic=74942.0http://www.pclinuxos.com/forum/index.php/topic,73501.0.htmlThanks a lot for any help on this!
Cheers,
Magesha