Comment 6 for bug 256631

Adding
Option "SWCursor" "on"
to xorg.conf
and disabling Compiz ("visual effects" to none) resolves the mouse cursor problem, but isn't a real solution.

Have removed the nvidia packages and manually installed 173.14.12 according to instructions here:
https://help.ubuntu.com/community/NvidiaManual
but still no result.

Seems that it's not anything to do with the nvidia supplied files.

What about nvidia-kernel-common and linux-restricted-modules? Have these changed since 7.10 or 7.04 or any other in graphics sub-system?