HI NIXnerd, If your getting a crosshatched or disrupted box around the pointer then it sounds very much like the pointer accelerator is on it's way out. The pointer is displayed by a sub-unit of the GPU, you can think of this as a mini graphics chip built in to the GPU that is there for the sole purpose of displaying the pointer. Sounds like you know what you're doing re: configuring X so try turning off pointer acceleration and see if it makes a difference, sadly if the pointer accelerator is indeed on it's way out then the rest of the GPU will not be far behind so turning off acceleration should be thought of as a temporary solution. As ever, if you have any questions or need more in-depth help post back.
1. Open Mouse by clicking the Start button, clicking Control Panel, clicking Hardware, and then clicking Mouse.
2. Click the Pointer Options tab, and then do any of the following:
• To change the speed at which the mouse pointer moves, move the Select a pointer speed slider towards Slow or Fast.
• To make the pointer work more accurately when you're moving the mouse slowly, select the Enhance pointer precision check box.
• To speed the process of selecting a choice when a dialog box appears, select the automatically move pointer to the default button in a dialog box check box.
• To make the pointer easier to find when you move it, select the Display pointer trails check box, and then move the slider towards Short or Long to decrease or increase the length of the pointer trail.
• To ensure that the pointer doesn't block your view of the text you're typing, select the Hide pointer while typing check box.
• To find a misplaced pointer by pressing the CTRL key, select the Show location of pointer when I press the CTRL key check box.
Change mouse settings
If you are using touchpad, try reducing the Touchpad sensitivity and check
1. Click on the "Start" icon in the lower left corner of the screen. Select "Control Panel." Next select "Mouse" under "Hardware and Sound." You can also left-click the touchpad while the cursor is anywhere on the desktop. From that screen, choose "Mouse Pointers."
2. Select the "Buttons" tab at the top of the dialog box that opens. This shows the type of touchpad device installed on your laptop.
3. Set the touchpad for right or left-handed use from this dialog box. You can adjust the double click speed of your computer as well. When you finish making any changes, click "Apply."
4. Pick the "Device Settings" tab from the dialog box now. You can see the touchpad for your Vista machine highlighted on this screen. Select "Settings."
5. Read the information provided in the next dialog box. It gives you options for tapping your touchpad, using the buttons, scrolling, pointer motion and sensitivity.
6. Make any changes you want from the various topics. When you make a change, click "Apply." Click "OK" when you finish making all your changes.
7. Do some work on your computer for a while, If the touchpad is still too sensitive, return to the "Mouse" menu and continue to adjust the settings until you get them just the way you want them.
If the issue persists try to perform a clean boot and check whether the issue is still persists.
Follow the steps mentioned in the article given below.
How to configure Windows Vista to start in a "clean boot":
Note:Once the troubleshooting is over, reset the computer to start as usual.
Also I would suggest you to keep in touch with mouse manufacturer
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