In fact I think there are two distinct problems for me:

- before 1ubuntu2, screen was flickering, with whole parts of the display 
moving (background, etc.) and mouse was flipping
- with 1ubuntu2, only the mouse shows the weird behaviour

Notice also I keep getting these two lines in the log, added each time I
open an app and see the flipping:

(II) intel(0): I2C device "LVDSDDC_C:ddc2" registered at address 0xA0.
(II) intel(0): I2C device "LVDSDDC_C:ddc2" removed.

-- 
Mouse cursor "flips" while gnome loads
https://bugs.launchpad.net/bugs/264228
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