Just scanned through this thread so hope I'm not answering an already answered question but i just did a restore on a laptop with problematic mouse and keyboard. Machine was XP Pro Media Center edition but I'm sure applies to Vista too. After much frustration I came across a discussion about this issue (funnily enough involving an acer laptop) and it turned out to to be the battery. So I removed the battery and rebooted and, as the saying goes, Bob's your uncle problem solved!