Sorry for the late reply.
The game should
run on an Intel GPU, but you'll need to turn off all or most of the eye candy. Since it won't run at all, your computer might not support 640x480 and 800x600; the game's default resolutions for movies and gameplay. Make sure these resolutions are supported in the Intel graphics driver control panel.
If it still won't run, turn off all of the eye candy by going into your game folder and opening swkotor.ini with notepad. Change the values for antialiasing, frame buffer effects, grass, shadows and soft shadows to 0, v-sync to 1, and change the width and height values to 1280x1024, then save and exit.