diff --git a/pkgs/development/libraries/libbsd/default.nix b/pkgs/development/libraries/libbsd/default.nix
new file mode 100644
index 000000000000..3c28b95c0667
--- /dev/null
+++ b/pkgs/development/libraries/libbsd/default.nix
@@ -0,0 +1,24 @@
+{ stdenv, fetchurl }:
+
+let name = "libbsd-0.3.0";
+in stdenv.mkDerivation {
+  inherit name;
+
+  src = fetchurl {
+    url = "http://libbsd.freedesktop.org/releases/${name}.tar.gz";
+    sha256 = "fbf36ed40443e1d0d795adbae8d461952509e610c3ccf0866ae160b723f7fe38";
+  };
+
+  patchPhase = ''
+    substituteInPlace Makefile \
+      --replace "/usr" "$out" \
+      --replace "{exec_prefix}" "{prefix}"
+  '';
+
+  meta = { 
+    description = "Common functions found on BSD systems";
+    homepage = http://libbsd.freedesktop.org/;
+    license = "BSD3";
+  };
+}
+
diff --git a/pkgs/development/libraries/libjpeg-turbo/default.nix b/pkgs/development/libraries/libjpeg-turbo/default.nix
index 63a8c53afb78..f7135e4018d8 100644
--- a/pkgs/development/libraries/libjpeg-turbo/default.nix
+++ b/pkgs/development/libraries/libjpeg-turbo/default.nix
@@ -1,11 +1,11 @@
 { stdenv, fetchurl, nasm }: 
 
 stdenv.mkDerivation {
-  name = "libjpeg-turbo-1.0.1";
+  name = "libjpeg-turbo-1.1.1";
   
   src = fetchurl {
-    url = mirror://sourceforge/libjpeg-turbo/libjpeg-turbo-1.0.1.tar.gz;
-    sha256 = "094jvqzibqbzmhh7mz3xi76lzlilxzb4j1x8rpdcdkzyig9dizqf";
+    url = mirror://sourceforge/libjpeg-turbo/libjpeg-turbo-1.1.1.tar.gz;
+    sha256 = "553b1f5a968fb9efc089623ed99be2aa6bc21586be92eb04848489c91a63f1e2";
   };
 
   buildInputs = [ nasm ];
diff --git a/pkgs/tools/X11/bumblebee/config.patch b/pkgs/tools/X11/bumblebee/config.patch
new file mode 100644
index 000000000000..61b671f80c1c
--- /dev/null
+++ b/pkgs/tools/X11/bumblebee/config.patch
@@ -0,0 +1,30 @@
+--- bumblebee-3.0/src/driver.c.orig	2012-02-03 14:51:10.282464426 +0100
++++ bumblebee-3.0/src/driver.c	2012-02-04 22:26:02.715498536 +0100
+@@ -23,6 +23,7 @@
+ #include "module.h"
+ #include "bblogger.h"
+ #include "driver.h"
++#include <stdlib.h>
+ 
+ /**
+  * Check what drivers are available and autodetect if possible. Driver, module
+@@ -30,6 +31,7 @@
+  */
+ void driver_detect(void) {
+   /* determine driver to be used */
++  set_string_value(&bb_config.driver, getenv("BUMBLEBEE_DRIVER"));
+   if (*bb_config.driver) {
+     bb_log(LOG_DEBUG, "Skipping auto-detection, using configured driver"
+             " '%s'\n", bb_config.driver);
+@@ -65,8 +67,8 @@
+     }
+   }
+ 
+-  if (strcmp(bb_config.driver, "nvidia")) {
+-    set_string_value(&bb_config.ld_path, CONF_LDPATH_NVIDIA);
+-    set_string_value(&bb_config.mod_path, CONF_MODPATH_NVIDIA);
++  if (!strcmp(bb_config.driver, "nvidia")) {
++    set_string_value(&bb_config.ld_path, getenv("BUMBLEBEE_LDPATH_NVIDIA"));
++    set_string_value(&bb_config.mod_path, getenv("BUMBLEBEE_MODPATH_NVIDIA"));
+   }
+ }
diff --git a/pkgs/tools/X11/bumblebee/default.nix b/pkgs/tools/X11/bumblebee/default.nix
new file mode 100644
index 000000000000..2e0c700641f7
--- /dev/null
+++ b/pkgs/tools/X11/bumblebee/default.nix
@@ -0,0 +1,136 @@
+# The bumblebee package allows a program to be rendered on an
+# dedicated video card by spawning an additional X11 server
+# and streaming the results via VirtualGL to the primary server.
+
+# The package is rather chaotic; it's also quite recent.
+# As it may change a lot, some of the hacks in this nix expression
+# will hopefully not be needed in the future anymore.
+
+# To test: make sure that the 'bbswitch' kernel module is installed,
+# then run 'bumblebeed' as root and 'optirun glxgears' as user.
+# To use at startup, add e.g. to configuration.nix:
+# jobs = {
+#   bumblebeed = {
+#     name = "bumblebeed";
+#     description = "Manages the Optimus video card";
+#     startOn = "started udev and started syslogd";
+#     stopOn = "starting shutdown";
+#     exec = "bumblebeed --use-syslog";
+#     path = [ pkgs.bumblebee ];
+#     environment = { MODULE_DIR = "${config.system.modulesTree}/lib/modules"; };
+#     respawn = true;
+#   };
+# };
+
+# This nix expression supports for now only the native nvidia driver.
+# It should not be hard to generalize this approach to support the
+# nouveau driver as well (parameterize commonEnv over the module
+# package, and parameterize the two wrappers as well)
+
+{ stdenv, fetchurl, pkgconfig, help2man
+, libX11, glibc, gtkLibs, libbsd
+, makeWrapper, buildEnv, module_init_tools
+, linuxPackages, virtualgl, xorg, xkeyboard_config
+}:
+
+let
+  version = "3.0";
+  name = "bumblebee-${version}";
+
+  # isolated X11 environment with the nvidia module
+  # it should include all components needed for bumblebeed and
+  # optirun to spawn the second X server and to connect to it.
+  commonEnv = buildEnv {
+    name = "bumblebee-env";
+    paths = [
+      module_init_tools
+
+      linuxPackages.nvidia_x11
+      xorg.xorgserver
+      xorg.xrandr
+      xorg.xrdb
+      xorg.setxkbmap
+      xorg.libX11
+      xorg.libXext
+
+      virtualgl
+    ];
+
+    # the nvidia GLX module overwrites the one of xorgserver,
+    # thus nvidia_x11 must be before xorgserver in the paths.
+    ignoreCollisions = true;
+  };
+
+  # Custom X11 configuration for the additional xserver instance.
+  xorgConf = ./xorg.conf.nvidia;
+
+in stdenv.mkDerivation {
+  inherit name;
+
+  src = fetchurl {
+    url = "http://github.com/downloads/Bumblebee-Project/Bumblebee/${name}.tar.gz";
+    sha256 = "a27ddb77b282ac8b972857fdb0dc5061cf0a0982b7ac3e1cfa698b4f786e49a1";
+  };
+
+  # 'config.patch' makes bumblebee read the active module and the nvidia configuration
+  # from the environment variables instead of the config file:
+  #   BUMBLEBEE_DRIVER, BUMBLEBEE_LDPATH_NVIDIA, BUMBLEBEE_MODPATH_NVIDIA
+  # These variables must be set when bumblebeed and optirun are executed.
+  patches = [ ./config.patch ./xopts.patch ];
+
+  preConfigure = ''
+    # Substitute the path to the actual modinfo program in module.c.
+    # Note: module.c also calls rmmod and modprobe, but those just have to
+    # be in PATH, and thus no action for them is required.
+    substituteInPlace src/module.c \
+      --replace "/sbin/modinfo" "${module_init_tools}/sbin/modinfo"
+
+    # Don't use a special group, just reuse wheel.
+    substituteInPlace configure \
+      --replace 'CONF_GID="bumblebee"' 'CONF_GID="wheel"'
+
+    # Ensures that the config file ends up with a nonempty
+    # name of the nvidia module. This is needed, because the
+    # configuration handling code otherwise resets the
+    # data that we obtained from the environment (see config.patch)
+    export CONF_DRIVER_MODULE_NVIDIA=nvidia
+  '';
+
+  # Build-time dependencies of bumblebeed and optirun.
+  # Note that it has several runtime dependencies.
+  buildInputs = [ stdenv makeWrapper pkgconfig help2man libX11 gtkLibs.glib libbsd ];
+
+  # create a wrapper environment for bumblebeed and optirun
+  postInstall = ''
+    # remove some entries from the configuration file that would otherwise
+    # cause our environment variables to be ignored.
+    substituteInPlace "$out/etc/bumblebee/bumblebee.conf" \
+      --replace "LibraryPath=" "" \
+      --replace "XorgModulePath=" ""
+
+    wrapProgram "$out/sbin/bumblebeed" \
+      --prefix PATH : "${commonEnv}/sbin:${commonEnv}/bin:\$PATH" \
+      --prefix LD_LIBRARY_PATH : "${commonEnv}/lib:\$LD_LIBRARY_PATH" \
+      --set BUMBLEBEE_DRIVER "nvidia" \
+      --set BUMBLEBEE_LDPATH_NVIDIA "${commonEnv}/lib" \
+      --set BUMBLEBEE_MODPATH_NVIDIA "${commonEnv}/lib/xorg/modules" \
+      --set FONTCONFIG_FILE "/etc/fonts/fonts.conf" \
+      --set XKB_BINDIR "${xorg.xkbcomp}/bin" \
+      --set XKB_DIR "${xkeyboard_config}/etc/X11/xkb"
+
+    wrapProgram "$out/bin/optirun" \
+      --prefix PATH : "${commonEnv}/sbin:${commonEnv}/bin" \
+      --prefix LD_LIBRARY_PATH : "${commonEnv}/lib" \
+      --set BUMBLEBEE_DRIVER "nvidia" \
+      --set BUMBLEBEE_LDPATH_NVIDIA "${commonEnv}/lib" \
+      --set BUMBLEBEE_MODPATH_NVIDIA "${commonEnv}/lib/xorg/modules"
+
+    cp ${xorgConf} "$out/etc/bumblebee/xorg.conf.nvidia"
+  '';
+
+  meta = {
+    homepage = http://github.com/Bumblebee-Project/Bumblebee;
+    description = "Daemon for managing Optimus videocards (power-on/off, spawns xservers)";
+    license = "free";
+  };
+}
diff --git a/pkgs/tools/X11/bumblebee/xopts.patch b/pkgs/tools/X11/bumblebee/xopts.patch
new file mode 100644
index 000000000000..9e44a8e9fd1a
--- /dev/null
+++ b/pkgs/tools/X11/bumblebee/xopts.patch
@@ -0,0 +1,11 @@
+--- bumblebee-3.0/src/bbsecondary.c.orig	2012-02-05 00:03:06.003439638 +0100
++++ bumblebee-3.0/src/bbsecondary.c	2012-02-05 00:46:38.017382619 +0100
+@@ -149,6 +149,8 @@
+       "-sharevts",
+       "-nolisten", "tcp",
+       "-noreset",
++      "-xkbdir", getenv("XKB_DIR"),
++      "-logfile", "/dev/null",
+       "-verbose", "3",
+       "-isolateDevice", pci_id,
+       "-modulepath",
diff --git a/pkgs/tools/X11/bumblebee/xorg.conf.nvidia b/pkgs/tools/X11/bumblebee/xorg.conf.nvidia
new file mode 100644
index 000000000000..31c417d6971e
--- /dev/null
+++ b/pkgs/tools/X11/bumblebee/xorg.conf.nvidia
@@ -0,0 +1,49 @@
+Section "DRI"
+    Mode 0666
+EndSection
+
+Section "ServerLayout"
+    Identifier "Layout0"
+    Screen "Screen1"
+    Option "AutoAddDevices" "false"
+EndSection
+
+Section "Module"
+    Load "dbe"
+    Load "extmod"
+    Load "glx"
+    Load "record"
+    Load "freetype"
+    Load "type1"
+EndSection
+
+Section "Files"
+EndSection
+
+Section "Device"
+    Identifier "Device1"
+    Driver "nvidia"
+    VendorName "NVIDIA Corporation"
+    Option "NoLogo" "true"
+    Option "UseEDID" "false"
+    Option "ConnectedMonitor" "CRT-0"
+EndSection
+
+Section "Screen"
+    Identifier "Screen1"
+    Device "Device1"
+    Monitor "Monitor0"
+    DefaultDepth 24
+    SubSection "Display"
+        Depth 24
+    EndSubSection
+EndSection
+
+Section "Extensions"
+    Option "Composite" "Enable"
+EndSection
+
+Section "Monitor"
+    Identifier "Monitor0"
+    Option "DPMS"
+EndSection
diff --git a/pkgs/tools/X11/virtualgl/default.nix b/pkgs/tools/X11/virtualgl/default.nix
index 433c22d128d6..57df08c1e2be 100644
--- a/pkgs/tools/X11/virtualgl/default.nix
+++ b/pkgs/tools/X11/virtualgl/default.nix
@@ -1,4 +1,5 @@
-{stdenv, fetchurl, mesa, libX11, openssl, libXext, libjpeg_turbo}:
+{ stdenv, fetchurl, mesa, libX11, openssl, libXext
+, libjpeg_turbo, cmake }:
 
 let
   libDir = if stdenv.is64bit then "lib64" else "lib";
@@ -6,21 +7,23 @@ in
 stdenv.mkDerivation {
   name = "virtualgl-2.1.4";
   src = fetchurl {
-    url = mirror://sourceforge/virtualgl/VirtualGL-2.1.4.tar.gz;
-    sha256 = "d455e599620473a07711196615e59c73d08a7f392a9fcf60a6bc05d82809d89d";
+    url = mirror://sourceforge/virtualgl/VirtualGL-2.3.tar.gz;
+    sha256 = "2f00c4eb20b0ae88e957a23fb66882e4ade2faa208abd30aa8c4f61570ecd4b9";
   };
 
-  patches = [ ./xshm.patch ];
+  patches = [ ./xshm.patch ./fixturbopath.patch ];
 
   prePatch = ''
     sed -i s,LD_PRELOAD=lib,LD_PRELOAD=$out/${libDir}/lib, rr/vglrun
   '';
 
-  preInstall =''
+  cmakeFlags = [ "-DTJPEG_LIBRARY=${libjpeg_turbo}/lib/libturbojpeg.so" ];
+
+  preInstall = ''
     export makeFlags="prefix=$out"
   '';
 
-  buildInputs = [ mesa libX11 openssl libXext libjpeg_turbo ];
+  buildInputs = [ cmake mesa libX11 openssl libXext libjpeg_turbo ];
 
   meta = {
     homepage = http://www.virtualgl.org/;
diff --git a/pkgs/tools/X11/virtualgl/fixturbopath.patch b/pkgs/tools/X11/virtualgl/fixturbopath.patch
new file mode 100644
index 000000000000..2177555e33ae
--- /dev/null
+++ b/pkgs/tools/X11/virtualgl/fixturbopath.patch
@@ -0,0 +1,16 @@
+--- VirtualGL-2.3/cmakescripts/FindTurboJPEG.cmake.orig 2012-02-02 17:33:49.496283001 +0100
++++ VirtualGL-2.3/cmakescripts/FindTurboJPEG.cmake      2012-02-02 17:44:18.772483239 +0100
+@@ -40,8 +40,11 @@
+        endif()
+ endif()
+ 
+-set(TJPEG_LIBRARY ${DEFAULT_TJPEG_LIBRARY} CACHE PATH
+-  "TurboJPEG library path (default: ${DEFAULT_TJPEG_LIBRARY})")
++if(NOT TJPEG_LIBRARY)
++       message(STATUS "TJPEG_LIBRARY environment variable not set")
++       set(TJPEG_LIBRARY ${DEFAULT_TJPEG_LIBRARY} CACHE PATH
++               "TurboJPEG library path (default: ${DEFAULT_TJPEG_LIBRARY})")
++endif()
+ 
+ if(WIN32)
+        set(CMAKE_REQUIRED_DEFINITIONS -MT)
diff --git a/pkgs/top-level/all-packages.nix b/pkgs/top-level/all-packages.nix
index e6df28175948..7207db292776 100644
--- a/pkgs/top-level/all-packages.nix
+++ b/pkgs/top-level/all-packages.nix
@@ -680,6 +680,8 @@ let
 
   flvstreamer = callPackage ../tools/networking/flvstreamer { };
 
+  libbsd = callPackage ../development/libraries/libbsd { };
+
   flvtool2 = callPackage ../tools/video/flvtool2 { };
 
   fontforge = callPackage ../tools/misc/fontforge { };
@@ -7682,6 +7684,8 @@ let
 
   virtualgl = callPackage ../tools/X11/virtualgl { };
 
+  bumblebee = callPackage ../tools/X11/bumblebee { };
+
   vkeybd = callPackage ../applications/audio/vkeybd {
     inherit (xlibs) libX11;
   };