Jason ruled out the -evdev update by reproducing with 1:2.6.99.901-1ubuntu2.
Attached is the full list of suspects, but it is probably something in the 1.11.99.902 input stack introduced with the 10 Feb xserver that brought the regression.
The kernel change could be ruled out by booting the 3.2.0-12.21 kernel -- hold down left shift during boot, then in grub go into the old kernels section and pick that button. You'll need to move aside your .xsessionrc and reboot to test it.
Jason ruled out the -evdev update by reproducing with 1:2.6.99. 901-1ubuntu2.
Attached is the full list of suspects, but it is probably something in the 1.11.99.902 input stack introduced with the 10 Feb xserver that brought the regression.
The kernel change could be ruled out by booting the 3.2.0-12.21 kernel -- hold down left shift during boot, then in grub go into the old kernels section and pick that button. You'll need to move aside your .xsessionrc and reboot to test it.