No it doesn't, the X1600XT has 12 pixel pipelines and 5 vertex. I had a bad experience with the ATI X1600pro (restarts, and my god the drivers couldn't be worse even if they tried.) ATI how ever has the technology but that isn't avaliable in these cards.
SM3 is pointless in multiplayer games, as it is distracting and you can't see the enemy at the end of a tunnel. Single player it is great.