Pixel Shader 2.0 precision article at DigitLife.

Some things stood out for me:

IIRC, Texture coordinate registers aren't supposed to obey the partial precision hint, so the NV35 behavior is in spec, and the NV30-NV34 behavior is not, even with the partial precision hint applied.

AFAIK, the drivers that exhibit that behavior are WHQL certified for the NV35 only. A bit of an abuse of the system by nVidia, I think, though that doesn't mean that the article's criticism of Microsoft's WHQL certification might not have some validity in that regard.
 
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