I spend some of last night setting up the new Ubuntu Gutsy (7.10) version into my new workstation. After setting up a separate hard disk (so that I could maintain Windows on its own disk), the initial impressions were positive; with the new nVidia card the Compiz-enhanced desktop really shines. Eventually I also got sounds out (Ubuntu did not get anything out through the digital audio, I found out). But then the system freezes started; mouse cursor still moves around, but you cannot click anything. Keyboard is completely dead, too. There appears to be multiple people reporting similar bugs:
http://ubuntuforums.org/showthread.php?t=568023
http://ubuntuforums.org/showthread.php?t=412125
I suspect something in the combination of Dual Core processor, Asus motherboard and nVidia display card make this happen, but apparently there is no solution. Thus: no working Linux desktop yet, back to Windows we go…
Edit: Uninstalling the restricted nVidia accelerated graphics driver seems to bring back the stability, so that must be the main culprit. Thus, I can use Gutsy Gibbon without the Compiz extras, but without crashes, or see the flashy version of UI for about 30 seconds, until it freezes. Oh, dear… It would be nice to get some automatic notification when nvidia-glx-new gets updated (today it apparently equals to Nvidia’s current release 100.14.19).
frans goes blog 
same problem here – mouse pointer still moves but you can’t click on anything – hoping for an update soon.
Same problem here. Sucks.
Same problem! HELP!
Problems continues !!!! NVidia , please, do something !!
I posted a comment on how I got rid of this problem on my laptop on the following forum
https://bugs.launchpad.net/ubuntu/+source/xorg/+bug/138094
Thanks odaagan — but as far as I understood, this involves removing the offending driver? This is also what I did, in order to return Gutsy back to stability. But then you of course lose 3D acceleration, which is a bummer.
Hey. What i did, to avoid the problem was to uninstall the Compiz :(, sad but don’t konw may be is cos i have AMD. Anyway if anybody know about this please Help!
Cheers
Same problem!!
Version 7.10
This isn’t limited to nVidia… I have an AMD+ATI x700 on my laptop with Gentoo + Compiz Fusion and I get the same thing….
I boot up, 30 seconds to a minute after everythings loaded and running fine the keyboard and mouse effectively freeze (can move them but not click on any windows, keyboard is unresponsive).
I can ssh in and do a metacity –replace and fix the problem… but it’s a bit annoying. Just found the suggestion to put “UseEvents” “false” under the Device section in xorg.conf… going to give it a shot.
Cheers