Nice tip - but the @font-face generator on the linked site actually does font smoothing before generating the output.
my comparison http://img709.imageshack.us/img709/9537/textshadow.png
It's even worst at smaller font-size. My test font is relatively simple also, imagine the disaster the NYT font would be without a blank shadow.
I'm on XP + Chrome.
What it sounds like the white drop shadow did in your case was simply force ClearType on for that text.
Found a tool that optimizes the contrast http://www.microsoft.com/typography/ClearTypePowerToy.mspx