DirectX is a hardware feature and support for newer versions can't be added through Driver Updates although the first generation HD Graphics does have DirectX 10.1 support so that can't be the reason as well as not all the games you mention don't need 10.1 (Modern Warfare 3 needs DirectX 9.0)
sorry you are wrong first generation of Intel hd graphics only support directx 10 and 2nd generation supports 10.1 there are very few new games which are only playable with directx 10.1 support like battlefield 3 and need for speed the run. you cannot play these games on first generation intel graphics. i can play need for speed the run through DOLPHIN Wii Emulator 17 fps but i cannot start this game in my pc because of lack of directx 10.1 support please intel people do something otherwise i will try buying ivy bridge with directx 11 support i really like intel built in graphics. thanks.
please update your drivers and at least provide drivers for first generation intel graphics for windows 8 release preview. 
Onizuka001, Dirt 3 has only DX9 and DX11 options but you can run in DX9 mode. Modern Warfare 3 doesn't require DX10 or DX11 and runs on HD Graphics. Need for Speed: The Run should run on DX10, too, there's a video of a 8600GT running it.
But, Battlefield 3 does require DX10.1 or higher. GMA HD doesn't have the hardware to support DX10.1 unfortunately.
BTW, the Beta Windows 8 drivers for HD Graphics 3000/4000 also support older generations, all the way back to the GMA 4500 series: Download Center
It also looks like the motherboard page for Intel's 5 series chipsets(which is for 1st Generation Core) show the 2696 May 2012 driver as the latest: http://downloadcenter.intel.com/SearchResult.aspx?lang=eng&ProductFamily=Desktop+Boards&ProductLine=Intel%C2%AE+5+Series+Chipset+Boards&ProductProduct=Intel%C2%AE+Desktop+Board+DH55PJ
You should check it out.
BTW, the Beta Windows 8 drivers for HD Graphics 3000/4000 also support older generations, all the way back to the GMA 4500 series: Download Center
i tried to install this driver on my windows 8 RP but failed "the computer does not meet the minimum requirements".
i have core i3-530 processor and Asus p7h55-v motherboard am i missing anything?.
Did you install the right version of the driver? I only linked the 64-bit version.
Select your OS from here.
what is the hardware device ID number of your Intel HD graphics device, onizuka001?
Open Device Manager, expand Display Adapters to reveal Intel HD graphics, double-click on it to view its properties, click on the Details tab and change the Property section from Device Description to Hardware IDs:
examples of hardware IDs of some Intel HD graphics devices:
PCI\VEN_8086&DEV_0042&SUBSYS_04381028&REV_18
PCI\VEN_8086&DEV_0102&SUBSYS_04ED1028&REV_09
and onizuka001, what version of Windows are you using? Open System Properties or DirectX Diagnostic Tool (dxdiag.exe) to determine version of Windows.
@DavidC1: onizuka001 did not say what version of Windows he is using, nor did he mentioned whether he's using a 32bit or 64bit version of Windows.
i am using windows 8 release preview 64bit version.
here is hardware ids number
PCI\VEN_8086&DEV_0042&SUBSYS_83831043&REV_12
PCI\VEN_8086&DEV_0042&SUBSYS_83831043
PCI\VEN_8086&DEV_0042&CC_030000
PCI\VEN_8086&DEV_0042&CC_0300
Hmm, I guess I read it too quick. But it says here....
For other platforms referenced in the table below, the driver is available with the Windows 8 Release Preview build (inbox drivers) and will be available for download from Windows Update
And that includes YOUR HD Graphics. You should check that your system is running that driver.
The driver names:
15.28.0.64.2770
9.17.10.2770
All the generic Windows 8 Preview drivers doesn't support first HD generation. Only Sandy Bridge/Ivy Bridge GPUs are supported.
yups is right on. v9.17.10.2770 of the intel hd graphics drivers for win8 preview won't work with hardware id numbers 0042 and 0046, and those are IDs for 1st generation intel hd graphics hardware. the 2770 drivers can only work with 2nd generation intel hd graphics hardware and above.
one can only hope that microsoft provides an "in-box" or built-in driver for the 1st generation intel hd graphics hardware in the final release of windows 8. looks like onizuka001 will have to wait a while for that one.
First Generation HD Graphics drivers will only be "In Box" drivers on the Windows 8* installation media.
When you think to that, a graphic card is just an iron and metal things. Why you can't just modify code to have more feature in one part of graphics card?
I very hope that someone will create the better graphic card with unlimited update from DirectX 11 to DirectX 20... It can be crazy, but I'm sure it's possible.
Unlimited Detail Technology - What Is It ?
Here are thousands of them being displayed on an ordinary laptop, using only one core, no special 3D graphics hardware is being used, and it all runs in real-time.
If console do that or PC (unlimited detail) company will lost money 
@onizuka001: A Windows 8 compatible version of the first generation Intel HD Graphics driver (version 8.15.10.2858 dated October 9, 2012) is now available from Windows Update. However, you must uninstall any beta/RC versions of Win8 and install the final/RTM release of Win8 in order to use this recent driver for 1st gen. Intel HD graphics hardware. then run Windows Update on Windows 8 final to download and install version 8.15.10.2858 of the graphics driver.
better late than never I suppose. took Intel and Microsoft quite a while to cooperate in making a fully compatible driver for Windows 8.
