PhotoQ has recently been updated to v2 (still in beta!) and now integrates with WordPress Media Library correctly now. The problem is that when W3TC uploads the media library its getting the wrong file paths.
wp-content/uploads/photoq-image.jpg Source file not found
wp-content/uploads/2010/09/wordpress-image-300x225.gif Object already exists
wp-content/uploads/2010/09/wordpress-image-150x150.gif Object already exists
wp-content/uploads/2010/09/wordpress-image.gif Object already exists
The photoq file path should be (and is shown correctly in wordpress) as:
Is this problem because PhotoQ still keeps the image outside the normal WordPress image path, or something simpler?