With Rails 1.1 the output_compression plugin was broken.
Once I upgraded to 1.1, I had to tweak it a bit to make it work.
Mainly it’s removing the code dealing with component requests, as
that’s part of rails now, and changing one function call.
Get the modified output_compression.rb file from
http://devblog.famundo.com/output_compression.rb and give it a try.
It’s also detailed in my devblog.
It you are interested in a diff or more explanations, let me know.