I can confirm that I have just installed th GMA3600 driver for the Acer
Cedarview from the Proposed Restricted Releases Repository and this
cursor proplem has been fixed with that update. This update has also
fixed brightness and resolution problems that that go hand in hand with
the cursor problem.

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https://bugs.launchpad.net/bugs/1034470

Title:
  Mouse pointer flicker or disappear when moving it with left mouse
  button down

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