unable to open launcher using nvidia driver

[NoahY]

Pressing the meta key causes the whole desktop to freeze, compiz use 100% cpu, etc. it actually tries to open the launcher, but ends up wrecking the display. It's using the nvidia-current-updates driver:

03:00.0 VGA compatible controller: NVIDIA Corporation G92 [GeForce GTS 250] (rev a2) (prog-if 00 [VGA controller])
        Subsystem: Giga-byte Technology Device 34e7
        Flags: bus master, fast devsel, latency 0, IRQ 16
        Memory at f8000000 (32-bit, non-prefetchable) [size=16M]
        Memory at e0000000 (64-bit, prefetchable) [size=256M]
        Memory at f6000000 (64-bit, non-prefetchable) [size=32M]
        I/O ports at cf00 [size=128]
        [virtual] Expansion ROM at f9000000 [disabled] [size=128K]
        Capabilities: [60] Power Management version 3
        Capabilities: [68] MSI: Enable- Count=1/1 Maskable- 64bit+
        Capabilities: [78] Express Endpoint, MSI 00
        Capabilities: [100] Virtual Channel
        Capabilities: [128] Power Budgeting <?>
        Capabilities: [600] Vendor Specific Information: ID=0001 Rev=1 Len=024 <?>
        Kernel driver in use: nvidia
        Kernel modules: nvidia_current_updates, nouveau, nvidiafb

but I've tried the nvidia.com driver and the nvidia-current driver as well, none work. nouveau seems to work better (when I can figure out how to get it to load), but then no 3d acceleration.

ProblemType: Bug
DistroRelease: Ubuntu 12.04
Package: nvidia-current-updates 295.20-0ubuntu1
ProcVersionSignature: Ubuntu 3.2.0-17.26-generic 3.2.6
Uname: Linux 3.2.0-17-generic x86_64
NonfreeKernelModules: nvidia
ApportVersion: 1.92-0ubuntu1
Architecture: amd64
Date: Wed Feb 22 18:04:57 2012
InstallationMedia: Ubuntu 11.04 "Natty Narwhal" - Release amd64 (20110427.1)
SourcePackage: nvidia-graphics-drivers-updates
UpgradeStatus: No upgrade log present (probably fresh install)

[Bryce Harrington (bryce)]

There's now a 295.33 driver, does that fix the freeze?

[NoahY (noahy)]

Nope, worse now, or maybe just varies - it doesn't even let me log in with 295.33

If I switch to a console quick enough, I can avoid the freeze, but it still has a terrible time refreshing the display - top, for example, shows itself as using 30-50% of the CPU!

[Hydrox24 (rax-24)]

I also have this issue using the 295.20-0ubuntu0.1 driver.
I am using Gnome-shell (GNOME Shell 3.2.2.1) and when I hit the meta key to show the 'windows' view everything operates normally. But when I start typing to search for a program GNOME crashes, restarts and then if I do it again GNOME-shell will crash permanently.

Switching from the
NVIDIA accelerated graphics driver (Post-release updates) (version current-updates)
to
NVIDIA accelerated graphics driver (version current) [Recommended]

Using the 'additional drivers' tool in ubuntu 11.10 solved the issue